0001140361-22-011156 | 10-K | XBRL Viewer

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
ASSETS
Cash and cash equivalents	$ 24,753	$ 19,319
Investments:
Fixed maturities, available-for-sale, at fair value (amortized cost: $238,597 and $222,461)	260,986	254,106
Equity securities, at fair value (cost: $4,907 and $6,393)	19,124	18,716
Other invested assets (cost: $698 and $3,765)	198	3,238
Policy loans	1,858	1,975
Real estate	38	38
Investment in unconsolidated trusts	1,238	1,238
Total investments	283,442	279,311
Receivables:
Reinsurance	27,416	29,086
Insurance premiums and other, net of allowance for doubtful accounts of $188 and $198 as of 2021 and 2020, respectively	14,959	27,512
Deferred income taxes, net	1,755	0
Deferred acquisition costs	38,698	39,611
Other assets	8,719	7,804
Intangibles	2,544	2,544
Total assets	402,286	405,187
LIABILITIES AND SHAREHOLDERS' EQUITY
Future policy benefits	87,348	90,872
Unearned premiums	27,469	27,131
Losses and claims	85,620	79,147
Other policy liabilities	1,360	1,526
Total insurance reserves and policyholder funds	201,797	198,676
Accounts payable and accrued expenses	25,465	26,412
Deferred income taxes, net	0	1,301
Junior subordinated debenture obligations, net	33,738	33,738
Total liabilities	261,000	260,127
Commitments and contingencies (Note 16)
Shareholders' equity:
Preferred stock, $1 par, 4,000,000 shares authorized; Series D preferred, 55,000 shares issued and outstanding; $5,500 redemption value	55	55
Common stock, $1 par, 50,000,000 shares authorized; 22,400,894 shares issued; 20,378,576 and 20,415,243 shares outstanding as of 2021 and 2020, respectively	22,401	22,401
Additional paid-in capital	57,441	57,437
Retained earnings	51,264	47,790
Accumulated other comprehensive income	17,688	25,000
Unearned stock grant compensation	(73)	(284)
Treasury stock, at cost, 2,022,318 and 1,985,651 shares as of 2021 and 2020, respectively	(7,490)	(7,339)
Total shareholders' equity	141,286	145,060
Total liabilities and shareholders' equity	$ 402,286	$ 405,187

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Investments:
Fixed maturities, cost	$ 238,597	$ 222,461
Equity securities, cost	4,907	6,393
Other invested assets, cost	698	3,765
Receivables:
Insurance premiums and other, allowance for doubtful accounts	$ 188	$ 198
Shareholders' equity:
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	4,000,000	4,000,000
Preferred stock, shares issued (in shares)	55,000	55,000
Preferred stock, shares outstanding (in shares)	55,000	55,000
Preferred stock, redemption value	$ 5,500	$ 5,500
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	22,400,894	22,400,894
Common stock, shares outstanding (in shares)	20,378,576	20,415,243
Treasury stock, at cost (in shares)	2,022,318	1,985,651

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Revenue:
Insurance premiums, net	$ 184,216	$ 183,539
Net investment income	8,528	7,744
Realized investment gains, net	4,903	7,420
Unrealized gains (losses) on equity securities, net	1,894	(3,431)
Other income	13	76
Total revenue	199,554	195,348
Benefits and expenses:
Insurance benefits and losses incurred	131,694	119,876
Commissions and underwriting expenses	47,496	46,811
Interest expense	1,387	1,610
Other expense	13,675	11,548
Total benefits and expenses	194,252	179,845
Income before income taxes	5,302	15,503
Income tax expense	1,021	3,334
Net Income	4,281	12,169
Preferred stock dividends	(399)	(399)
Net Income applicable to common shareholders	$ 3,882	$ 11,770
Earnings per common share (basic) (in dollars per share)	$ 0.19	$ 0.58
Earnings per common share (diluted) (in dollars per share)	$ 0.19	$ 0.56

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) [Abstract]
Net income	$ 4,281	$ 12,169
Available-for-sale fixed maturity securities:
Gross unrealized holding gain (loss) arising in the period	(8,686)	18,791
Related income tax effect	1,824	(3,946)
Subtotal	(6,862)	14,845
Less: reclassification adjustment for net realized gains included in net income	(570)	(385)
Related income tax effect	120	81
Subtotal	(450)	(304)
Total other comprehensive income (loss), net of tax	(7,312)	14,541
Total comprehensive income (loss)	$ (3,031)	$ 26,710

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income [Member]	Unearned Stock Grant Compensation [Member]	Treasury Stock [Member]	Total
Balance, beginning of year at Dec. 31, 2019	$ 55	$ 22,401	$ 57,820	$ 36,020	$ 10,459	$ (781)	$ (7,580)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				12,169				$ 12,169
Other comprehensive income (loss), net of tax					14,541			14,541
Dividends on common stock				0
Dividends accrued on preferred stock				(399)
Restricted stock grants, net of forfeitures			(376)			60	316
Amortization of unearned compensation						437
Net shares acquired related to employee share-based compensation plans							(91)
Issuance of shares under stock plans			(7)				16
Balance, end of year at Dec. 31, 2020	55	$ 22,401	57,437	47,790	25,000	(284)	(7,339)	$ 145,060
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared on common stock per share (in dollars per share)								$ 0
Balance, beginning of year (in shares) at Dec. 31, 2019		20,472,162
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net shares acquired under employee share-based compensation plans (in shares)		(46,620)
Issuance of shares under stock plans (in shares)		4,701
Restricted stock grants, net of forfeitures (in shares)		(15,000)
Balance, end of year (in shares) at Dec. 31, 2020		20,415,243						20,415,243
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income				4,281				$ 4,281
Other comprehensive income (loss), net of tax					(7,312)			(7,312)
Dividends on common stock				(408)
Dividends accrued on preferred stock				(399)
Restricted stock grants, net of forfeitures			0			0	0
Amortization of unearned compensation						211
Net shares acquired related to employee share-based compensation plans							(153)
Issuance of shares under stock plans			4				2
Balance, end of year at Dec. 31, 2021	$ 55	$ 22,401	$ 57,441	$ 51,264	$ 17,688	$ (73)	$ (7,490)	$ 141,286
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared on common stock per share (in dollars per share)								$ 0.02
Net shares acquired under employee share-based compensation plans (in shares)		(38,147)
Issuance of shares under stock plans (in shares)		1,480
Restricted stock grants, net of forfeitures (in shares)		0
Balance, end of year (in shares) at Dec. 31, 2021		20,378,576						20,378,576

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net Income	$ 4,281	$ 12,169
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of deferred acquisition costs	24,064	19,393
Acquisition costs deferred	(23,151)	(20,143)
Realized investment gains, net	(4,903)	(7,420)
Unrealized (gains) losses on equity securities, net	(1,894)	3,431
Distributions received from equity method investees	290	0
Compensation expense related to share awards	211	437
Depreciation and amortization	1,003	980
Deferred income tax benefit	(1,112)	(2,250)
Decrease in receivables, net	1,545	1,349
Increase (decrease) in insurance reserves and policyholder funds	3,121	(3,230)
(Decrease) increase in accounts payable and accrued expenses	(947)	2,324
Other, net	(1,420)	1,931
Net cash provided by operating activities	1,088	8,971
Cash flows from investing activities:
Proceeds from investments sold	29,184	18,541
Proceeds from investments matured, called or redeemed	11,515	7,117
Investments purchased	(35,292)	(27,489)
Additions to property and equipment	(107)	(233)
Net cash provided by (used in) investing activities	5,300	(2,064)
Cash flows from financing activities:
Payment of dividends on Series D preferred stock	(399)	(399)
Payment of dividends on common stock	(408)	0
Proceeds from shares issued under stock plans	6	9
Treasury stock acquired - net employee share-based compensation	(153)	(91)
Net cash used in financing activities	(954)	(481)
Net (decrease) increase in cash	5,434	6,426
Cash and cash equivalents at beginning of year	19,319	12,893
Cash and cash equivalents at end of year	24,753	19,319
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	1,389	1,665
Cash paid for income taxes	3,202	3,883
Non-cash investing activities:
Receivable from sale of other invested assets	$ 0	$ 12,678

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2021

Summary of Significant Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 1.

Summary of Significant Accounting Policies

Principles of Consolidation

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) which, for insurance companies, differ in some respects from the statutory accounting practices prescribed or permitted by regulatory authorities. These financial statements include the accounts of Atlantic American Corporation (“Atlantic American” or the “Parent”) and its subsidiaries (collectively with the Parent, the “Company”). All significant intercompany accounts and transactions have been eliminated in consolidation. Operating results achieved in any historical period are not necessarily indicative of results to be expected in any future period.

At December 31, 2021, the Parent owned four insurance subsidiaries, Bankers Fidelity Life Insurance Company and its wholly-owned subsidiary, Bankers Fidelity Assurance Company (together known as “Bankers Fidelity”), and American Southern Insurance Company and its wholly-owned subsidiary, American Safety Insurance Company (together known as “American Southern”), in addition to one non-insurance subsidiary, xCalibre Risk Services, Inc. The Parent has issued a guarantee of all liabilities of Bankers Fidelity.

Premium Revenue and Cost Recognition

Life insurance premiums are recognized as revenue when due; accident and health insurance premiums are recognized as revenue over the premium paying period and property and casualty insurance premiums are recognized as revenue over the period of the contract in proportion to the amount of insurance protection provided. Losses, benefits and expenses are accrued as incurred and are associated with premiums as they are earned so as to result in recognition of profits over the lives of the contracts. For traditional life insurance and long-duration health insurance, this association is accomplished by the provision of a future policy benefits reserve and the deferral and subsequent amortization of the costs of acquiring business, which are referred to as “deferred policy acquisition costs” (principally commissions, premium taxes, and other incremental direct costs of issuing policies). Deferred policy acquisition costs (“DAC”) are amortized over the estimated premium-paying period of the related policies using assumptions consistent with those used in computing the future policy benefits reserve. The Company provides for insurance benefits and losses on accident, health, and property-casualty claims based upon estimates of projected ultimate losses. DAC for property and casualty insurance and short-duration health insurance is amortized over the effective period of the related insurance policies. Contingent commissions, if contractually applicable, are ultimately payable to agents based on the underlying profitability of a particular insurance contract or a group of insurance contracts, and are periodically evaluated and accrued as earned. In periods in which revisions are made to the estimated loss reserves related to the particular insurance contract or group of insurance contracts subject to such commissions, corresponding adjustments are also made to the related accruals. DAC is expensed when such costs are deemed not to be recoverable from future premiums (for traditional life and long-duration health insurance) and from the related unearned premiums and investment income (for property and casualty and short-duration health insurance).

Intangibles

Intangibles consist of goodwill and other indefinite-lived intangible assets. Goodwill represents the excess of cost over the fair value of net assets acquired and is not amortized. Other indefinite-lived intangibles represent the value of licenses and are not amortized. The Company periodically reviews its goodwill and other indefinite-lived intangibles to determine if any adverse conditions exist that could indicate impairment. Conditions that could trigger impairment include, but are not limited to, a significant change in business climate that could affect the value of the related asset, an adverse action, or an assessment by a regulator. No impairment of the Company’s recorded intangibles was identified during any of the periods presented.

Investments

The Company’s investments in fixed maturities, which include bonds and redeemable preferred stocks, are classified as “available-for-sale” and, accordingly, are carried at fair value with the after-tax difference from amortized cost, as adjusted if applicable, reflected in shareholders’ equity as a component of accumulated other comprehensive income or loss. The Company’s equity securities, which include common and non-redeemable preferred stocks, are carried at fair value with changes in fair value reported in net income. The fair values of fixed maturities and equity securities are largely determined from publicly quoted market prices, when available, or independent broker quotations. As of December 31, 2021, the Company owned a certain equity security in the amount of $157, with a valuation that was derived from techniques in which one or more of the significant inputs are unobservable. As of December 31, 2021, the Company owned a certain fixed maturity in the amount of $250, with a valuation that was derived from techniques in which one or more of the significant inputs are unobservable. Values that are not determined using quoted market prices inherently involve a greater degree of judgment and uncertainty and therefore ultimately greater price volatility than the value of securities with publicly quoted market prices. Policy loans are carried at unpaid principal balance and real estate is carried at historical cost. Other invested assets are comprised of investments in limited partnerships and limited liability companies and are accounted for using the equity method. If the value of a fixed maturity security or other invested asset declines below its cost or amortized cost, as applicable, and the decline is considered to be other than temporary, a realized loss is recorded to reduce the carrying value of the investment to its estimated fair value, which becomes the new cost basis.

Premiums and discounts related to investments are amortized or accreted over the life of the related investment as an adjustment to yield using the effective interest method. Dividends and interest income are recognized when earned or declared. The cost of securities sold is based on specific identification. Unrealized gains (losses) in the value of fixed maturities are accounted for as a direct increase (decrease) in accumulated other comprehensive income in shareholders’ equity, net of deferred tax and, accordingly, have no effect on net income.

Income Taxes

Deferred income taxes represent the expected future tax consequences when the reported amounts of assets and liabilities are recovered or paid. They arise from differences between the financial reporting and tax basis of assets and liabilities and are adjusted for changes in tax laws and tax rates as those changes are enacted. The provision for income taxes represents the total amount of income taxes due related to the current year, plus the change in deferred income taxes during the year. A valuation allowance is recognized if, based on management’s assessment of the relevant facts, it is more likely than not that some portion of a deferred tax asset will not be realized.

Earnings Per Common Share

Basic earnings per common share are based on the weighted average number of common and participating shares outstanding during the relevant period. Diluted earnings per common share are based on the weighted average number of common and participating shares outstanding during the relevant period, plus options outstanding, if applicable, using the treasury stock method and the assumed conversion of the Series D preferred stock, if dilutive. Unless otherwise indicated, earnings per common share amounts are presented on a diluted basis.

Cash and Cash Equivalents

Cash and cash equivalents consist of cash on hand and investments in short-term, highly liquid securities with original maturities of three months or less from date of purchase.

Reinsurance

The Company enters into reinsurance agreements with other companies in the normal course of business. For each reinsurance agreement, the Company determines if the agreement provides indemnification against loss or liability relating to insurance risk in accordance with applicable accounting standards. Reinsurance premiums and benefits paid or provided are accounted for on bases consistent with those used in accounting for the original policies issued and the terms of the reinsurance contracts. Premiums, benefits and DAC are reported net of insurance ceded. Reinsurance premiums from assumed business are estimated based on information received from ceding companies and reinsureds. Any subsequent differences that arise regarding such estimates are recorded in the period in which they are determined.

Share-Based Transactions

For employee and director share-based compensation awards, the Company determines a grant date fair value based on the price of our publicly-traded common stock and recognize the related compensation expense, adjusted for actual forfeitures, in the consolidated statement of operations on a straight-line basis over the requisite service period for the entire award. For non-employee share-based compensation awards, the Company recognizes the impact during the period of performance, and the fair value of the award is measured as of the date performance is complete, which is the vesting date.

Treasury Stock

Treasury stock is reflected as a reduction of shareholders’ equity at cost. The Company uses the first-in-first-out (“FIFO”) purchase cost to determine the cost of treasury stock that is reissued. The Company includes any gains and losses in additional paid-in capital when treasury stock is reissued.

Recently Issued Accounting Standards

Adoption of New Accounting Standards

Income Taxes – Simplifying the Accounting for Income Taxes. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This updated guidance is intended to simplify the accounting for income taxes by removing several exceptions contained in existing guidance and amending other existing guidance to simplify several other income tax accounting matters. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2020, although earlier adoption is permitted. The Company adopted ASU 2019-12 as of January 1, 2021. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements.

Future Adoption of New Accounting Standards

Reference Rate Reform. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). This guidance provides optional expedients and exceptions for applying GAAP to investments, derivatives, or other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Along with the optional expedients, the amendments include a general principle that permits an entity to consider contract modifications due to reference reform to be an event that does not require contract re-measurement at the modification date or reassessment of a previous accounting determination. Additionally, a company may make a one-time election to sell, transfer, or both sell and transfer debt securities classified as held to maturity that reference a rate affected by reference rate reform and that were classified as held to maturity before January 1, 2020. This standard may be elected over time through December 31, 2022 as reference rate reform activities occur. The Company is currently assessing the effect of adopting this guidance on its financial condition and results of operations.

Accounting for Long-Duration Contracts. In August 2018, the FASB issued ASU No. 2018-12, Financial Services —Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts (“ASU 2018-12”). This guidance (1) improves the timeliness of recognizing changes in the liability for future policy benefits and modifies the rate used to discount future cash flows, (2) simplifies and improves the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts, (3) simplifies the amortization of deferred acquisition costs, and (4) improves the effectiveness of the required disclosures. ASU 2018-12 is effective for interim and annual reporting periods beginning after December 15, 2024, although earlier adoption is permitted. The Company is currently evaluating the new guidance, but has not yet determined the method or timing for adoption or estimated the impact on the Company’s consolidated financial statements.

Financial Instruments – Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 requires entities to measure all expected credit losses for financial instruments (including reinsurance recoverable and policy loans) held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts. Under current GAAP, entities generally recognize credit losses when it is probable that the loss has been incurred. ASU 2016-13 will remove all recognition thresholds and will require entities to recognize an allowance for credit losses equal to the difference between the amortized cost basis of a financial instrument and the amount of amortized cost that the entity expects to collect over the instrument’s contractual life. ASU 2016-13 also amends the credit loss measurement guidance for available-for-sale (“AFS”) debt securities and beneficial interests in securitized financial assets. Credit losses on AFS debt securities carried at fair value will continue to be measured as an other than temporary impairment (“OTTI”) when incurred; however, the losses will be recognized through an allowance and no longer as an adjustment to the cost basis. Recoveries of OTTI will be recognized as reversals of valuation allowances and no longer accreted as investment income through an adjustment to the investment yield. The allowance on AFS debt securities cannot cause the net carrying value to be below fair value and, therefore, it is possible that increases in fair value due to decreases in market interest rates could cause the reversal of a valuation allowance and increase net income. The new guidance will also require purchased financial assets with a more-than-insignificant amount of credit deterioration since original issuance to be recorded based on contractual amounts due and an initial allowance recorded at the date of purchase. For the Company, the amendments in ASU 2016-13 will be effective for interim and annual reporting periods beginning after December 15, 2022. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company will adopt on January 1, 2023. Implementation matters yet to be addressed include determining the impact of valuation allowances on the effective interest method for recognizing interest income from AFS debt securities as well as updating our investment accounting system functionality to adjust valuation allowances based on changes in fair value. The estimated effect on the Company’s consolidated financial statements can only be estimated based on the current investment portfolio at any given point in time, and accordingly, has not currently been determined.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements and related disclosures in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Significant estimates and assumptions are used in developing and evaluating deferred income taxes, deferred acquisition costs, insurance reserves, investments, and receivables, among others, and actual results could differ materially from management’s estimates.

Investments

12 Months Ended

Dec. 31, 2021

Investments [Abstract]

Investments

Note 2.

Investments

The following tables set forth the estimated fair value, gross unrealized gains, gross unrealized losses and cost or amortized cost of the Company’s investments in fixed maturities and equity securities, aggregated by type and industry, as of December 31, 2021 and December 31, 2020.

Fixed maturities were comprised of the following:

	2021
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	50,298	$	763	$	416	$	49,951
Obligations of states and political subdivisions		11,644		749		—		10,895
Corporate securities:
Utilities and telecom		29,717		2,961		44		26,800
Financial services		70,921		6,759		48		64,210
Other business – diversified		40,216		4,631		106		35,691
Other consumer – diversified		57,940		7,185		103		50,858
Total corporate securities		198,794		21,536		301		177,559
Redeemable preferred stocks:
Other consumer – diversified		250		58		—		192
Total redeemable preferred stocks		250		58		—		192
Total fixed maturities	$	260,986	$	23,106	$	717	$	238,597

	2020
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	30,762	$	1,381	$	26	$	29,407
Obligations of states and political subdivisions		11,802		898		—		10,904
Corporate securities:
Utilities and telecom		30,359		4,423		—		25,936
Financial services		78,258		9,811		6		68,453
Other business – diversified		41,145		5,689		15		35,471
Other consumer – diversified		61,530		9,479		47		52,098
Total corporate securities		211,292		29,402		68		181,958
Redeemable preferred stocks:
Other consumer – diversified		250		58		—		192
Total redeemable preferred stocks		250		58		—		192
Total fixed maturities	$	254,106	$	31,739	$	94	$	222,461

Bonds having an amortized cost of $11,169 and $10,670 and included in the tables above were on deposit with insurance regulatory authorities at December 31, 2021 and 2020, respectively, in accordance with statutory requirements. Additionally, bonds having an amortized cost of $5,371 and $1,997 and included in the tables above were pledged as collateral to FHLB at December 31, 2021 and 2020, respectively.

	2021
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Cost or Amortized Cost
Equity securities:
Common and non-redeemable preferred stocks:
Financial services		799		525		—		274
Other business – diversified		18,325		13,692		—		4,633
Total equity securities	$	19,124	$	14,217	$	—	$	4,907

	2020
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Cost or Amortized Cost
Equity securities:
Common and non-redeemable preferred stocks:
Financial services		2,111		351		—		1,760
Other business – diversified		16,605		11,972		—		4,633
Total equity securities	$	18,716	$	12,323	$	—	$	6,393

The carrying value and amortized cost of the Company’s investments in fixed maturities at December 31, 2021 and 2020 by contractual maturity were as follows. Actual maturities may differ from contractual maturities because issuers may call or prepay obligations with or without call or prepayment penalties.

	2021				2020
	Carrying Value		Amortized Cost		Carrying Value		Amortized Cost
Due in one year or less	$	1,734	$	1,730	$	2,041	$	2,015
Due after one year through five years		24,926		23,593		18,373		17,039
Due after five years through ten years		73,725		68,338		89,892		79,993
Due after ten years		122,045		106,181		124,609		104,527
Asset backed securities		38,556		38,755		19,191		18,887
Totals	$	260,986	$	238,597	$	254,106	$	222,461

The following tables present the Company’s unrealized loss aging for securities by type and length of time the security was in a continuous unrealized loss position as of December 31, 2021 and 2020.

	2021
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	30,141	$	416	$	—	$	—	$	30,141	$	416
Corporate securities		3,326		49		4,761		252		8,087		301
Total temporarily impaired securities	$	33,467	$	465	$	4,761	$	252	$	38,228	$	717

	2020
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	7,045	$	26	$	—	$	—	$	7,045	$	26
Corporate securities		4,602		68		—		—		4,602		68
Total temporarily impaired securities	$	11,647	$	94	$	—	$	—	$	11,647	$	94

The evaluation for an other than temporary impairment (“OTTI”) is a quantitative and qualitative process, which is subject to risks and uncertainties in the determination of whether declines in the fair value of investments are other than temporary. Potential risks and uncertainties include, among other things, changes in general economic conditions, an issuer’s financial condition or near term recovery prospects and the effects of changes in interest rates. In evaluating a potential impairment, the Company considers, among other factors, management’s intent and ability to hold the securities until price recovery, the nature of the investment and the expectation of prospects for the issuer and its industry, the status of an issuer’s continued satisfaction of its obligations in accordance with their contractual terms, and management’s expectation as to the issuer’s ability and intent to continue to do so, as well as ratings actions that may affect the issuer’s credit status.

There were no OTTI charges recorded during the years ended December 31, 2021 and 2020.

As of December 31, 2021 and 2020, there were sixty-one and twenty securities, respectively, in an unrealized loss position which primarily included certain of the Company’s investments in fixed maturities within the financial services, other diversified business and other diversified consumer sectors. The increase in the number and value of securities in an unrealized loss position during the year ended December 31, 2021, was primarily attributable to a decline in market values in certain of the Company’s fixed maturity securities as a result of a rising interest rate environment. The Company does not currently intend to sell nor does it expect to be required to sell any of the securities in an unrealized loss position. Based upon the Company’s expected continuation of receipt of contractually required principal and interest payments and its intent and ability to retain the securities until price recovery, as well as the Company’s evaluation of other relevant factors, including those described above, the Company has deemed these securities to be temporarily impaired as of December 31, 2021.

Investment income was earned from the following sources:

	2021			2020
Fixed maturities	$	8,640		$	8,646
Equity securities		300			141
Other		(111	)		(788	)
		8,829			7,999
Investment expenses		301			255
Net investment income	$	8,528		$	7,744

A summary of realized investment gains (losses) follows:

	2021
	Fixed Maturities		Equity Securities		Other Invested Assets		Total
Gains	$	570	$	—	$	4,333	$	4,903
Losses		—		—		—		—
Realized investment gains, net	$	570	$	—	$	4,333	$	4,903

	2020
	Fixed Maturities			Equity Securities			Other Invested Assets		Total
Gains	$	835		$	88		$	6,948	$	7,871
Losses		(450	)		(1	)		—		(451	)
Realized investment gains, net	$	385		$	87		$	6,948	$	7,420

Proceeds from the sales of available-for-sale fixed maturities were as follows:

	2021		2020
Sales proceeds	$	9,244	$	18,504
Gross gains		454		835
Gross losses		—		(450	)

Proceeds from the sales of equity securities were as follows:

	2021		2020
Sales proceeds	$	61	$	5
Gross gains		—		—
Gross losses		—		(1	)

Proceeds from the sales of other invested assets were as follows:

	2021		2020
Sales proceeds	$	19,761	$	—
Gross gains		4,333		6,948
Gross losses		—		—

Sales of available-for-sale securities in 2021 and 2020 were primarily a result of improving the overall risk versus return profile of the portfolio. In addition, the Company sold its interest in a certain limited liability company held as other invested assets to a third-party. The transaction closed prior to December 31, 2020. The Company recorded gross realized gains on this sale of $6.9 million and proceeds of $12.7 million which settled after year end.

The following table presents the portion of unrealized gains (losses) related to equity securities still held for the years ended December 31, 2021 and 2020.

	2021		2020
Net realized and unrealized gains (losses) recognized during the period on equity securities	$	1,894	$	(3,344	)
Less: Net realized gains recognized during the period on equity securities sold during the period		—		87
Unrealized gains (losses) on equity securities, net	$	1,894	$	(3,431	)

The Company’s bond portfolio included 99% investment grade securities, as defined by the NAIC, at December 31, 2021.

Variable Interest Entities

The Company holds passive interests in a number of entities that are considered to be variable interest entities (“VIEs”) under GAAP guidance. The Company’s VIE interests principally consist of interests in limited partnerships and limited liability companies formed for the purpose of achieving diversified equity returns. The Company’s VIE interests, carried as a part of other invested assets, totaled $198 and $3,238 at December 31, 2021 and 2020, respectively. The Company’s VIE interests, carried as a part of investment in unconsolidated subsidiaries, totaled $1,238 at December 31, 2021 and 2020.

The Company does not have power over the activities that most significantly impact the economic performance of these VIEs and thus is not the primary beneficiary. Therefore, the Company has not consolidated these VIEs. The Company’s involvement with each VIE is limited to its direct ownership interest in the VIE. The Company has no arrangements with any of the VIEs to provide other financial support to or on behalf of the VIE. The Company’s maximum loss exposure relative to these investments was limited to the carrying value of the Company’s investment in the VIEs, which amount to $1,436 and $4,476, at December 31, 2021 and 2020, respectively. As of December 31, 2021 and 2020, the Company had outstanding commitments totaling $1,997, whereby the Company is committed to fund these investments and may be called by such VIEs during the commitment period to fund the purchase of new investments and partnership expenses.

Disclosures About Fair Value of Financial Instruments

12 Months Ended

Dec. 31, 2021

Disclosures About Fair Value of Financial Instruments [Abstract]

Disclosures About Fair Value of Financial Instruments

Note 3.

Disclosures About Fair Value of Financial Instruments

The estimated fair values have been determined by the Company using available market information from various market sources and appropriate valuation methodologies as of the respective dates. However, considerable judgment is necessary to interpret market data and to develop the estimates of fair value. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, the estimates presented herein are not necessarily indicative of the amounts which the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

The following describes the fair value hierarchy and provides information as to the extent to which the Company uses fair value to measure the value of its financial instruments and information about the inputs used to value those financial instruments. The fair value hierarchy prioritizes the inputs in the valuation techniques used to measure fair value into three broad levels.

Level 1

Observable inputs that reflect quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date. The Company’s financial instruments valued using Level 1 criteria include cash equivalents and exchange traded common stocks.

Level 2

Observable inputs, other than quoted prices included in Level 1, for an asset or liability or prices for similar assets or liabilities. The Company’s financial instruments valued using Level 2 criteria include significantly most of its fixed maturities, which consist of U.S. Treasury securities, U.S. Government securities, obligations of states and political subdivisions, and certain corporate fixed maturities, as well as its non-redeemable preferred stocks. In determining fair value measurements of its fixed maturities and non-redeemable preferred stocks using Level 2 criteria, the Company utilizes data from outside sources, including nationally recognized pricing services and broker/dealers. Prices for the majority of the Company’s Level 2 fixed maturities and non-redeemable preferred stocks were determined using unadjusted prices received from pricing services that utilize models where the significant inputs are observable (e.g. interest rates, yield curves, prepayment speeds, default rates, loss severities) or can be corroborated by observable market data.

Level 3

Valuations that are derived from techniques in which one or more of the significant inputs are unobservable (including assumptions about risk). Fair value is based on criteria that use assumptions or other data that are not readily observable from objective sources. With little or no observable market, the determination of fair values uses considerable judgment and represents the Company’s best estimate of an amount that could be realized in a market exchange for the asset or liability. The Company’s financial instruments valued using Level 3 criteria consist of one fixed maturity security and one equity security. As of December 31, 2021 and December 31, 2020, the value of the fixed maturity valued using Level 3 criteria was $250 and $0, respectively. As of December 31, 2021 and December 31, 2020, the value of the equity security valued using Level 3 criteria was $157 and $143, respectively. The equity security is not traded and valued at cost. The use of different criteria or assumptions regarding data may have yielded materially different valuations.

Recurring Fair Value Measurements

Cash Equivalents. The carrying amount approximates fair value due to the short-term nature of the instruments.

Fixed Maturities and Common and Non-Redeemable Preferred Stocks. The carrying amount is determined from publicly quoted market prices. Certain fixed maturities do not have publicly quoted values and consist solely of issuances of pooled debt obligations of multiple, smaller financial services companies. They are not actively traded and valuation techniques used to measure fair value are based on future estimated cash flows discounted at reasonable estimated rates of interest. Other qualitative and quantitative information is also considered, as applicable.

Nonrecurring Fair Value Measurements

Non-publicly Traded Invested Assets. The fair value of investments in certain limited partnerships which are included in other invested assets on the consolidated balance sheet were determined by officers of those limited partnerships.

Policy Loans. Policy loans, which are categorized as Level 2 fair value measurements, are carried at the unpaid principal balances.

Junior Subordinated Debentures. The fair value is estimated based on observable interest rates and yields for debt instruments having similar characteristics.

As of December 31, 2021, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	250	$	260,486	$	250	$	260,986
Equity securities		18,967		—		157		19,124
Cash equivalents		12,713		—		—		12,713
Total	$	31,930	$	260,486	$	407	$	292,823

As of December 31, 2020, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	—	$	254,106	$	—	$	254,106
Equity securities		18,573		—		143		18,716
Cash equivalents		12,010		—		—		12,010
Total	$	30,583	$	254,106	$	143	$	284,832

The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company’s financial instruments as of December 31, 2021 and 2020.

	Level in	2021				2020
	Fair Value Hierarchy⁽¹⁾	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Assets:
Cash and cash equivalents	Level 1	$	24,753	$	24,753	$	19,319	$	19,319
Fixed maturities	⁽¹⁾		260,986		260,986		254,106		254,106
Equity securities	⁽¹⁾		19,124		19,124		18,716		18,716
Other invested assets	Level 3		198		198		3,238		3,238
Policy loans	Level 2		1,858		1,858		1,975		1,975
Investments in unconsolidated trusts	Level 2		1,238		1,238		1,238		1,238

Liabilities:
Junior Subordinated Debentures, net	Level 2		33,738		33,728		33,738		32,297

(1)	See the aforementioned information for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Deferred Policy Acquisition Costs

12 Months Ended

Dec. 31, 2021

Deferred Policy Acquisition Costs [Abstract]

Deferred Policy Acquisition Costs

Note 4.

Deferred Policy Acquisition Costs

The following table presents a rollforward of deferred policy acquisition costs by segment for the years ended December 31.

	2021						2020
	American Southern			Bankers Fidelity			American Southern			Bankers Fidelity
Deferred policy acquisition costs:
Balance, beginning of year	$	2,299		$	37,312		$	1,979		$	36,882
Capitalization		10,690			12,461			9,910			10,233
Amortization		(10,599	)		(13,465	)		(9,590	)		(9,803	)
Balance, end of year	$	2,390		$	36,308		$	2,299		$	37,312

Insurance Reserves and Policyholder Funds

12 Months Ended

Dec. 31, 2021

Insurance Reserves and Policyholder Funds [Abstract]

Insurance Reserves and Policyholder Funds

Note 5.

Insurance Reserves and Policyholder Funds

The following table presents the Company’s reserves for life, accident and health, and property and casualty losses, claims and loss adjustment expenses at December 31, 2021 and 2020.

					Amount of Insurance In Force, Net
	2021		2020		2021		2020
Future policy benefits
Life insurance policies:
Ordinary life and annuities	$	51,947	$	54,442	$	194,210	$	199,827
Group life		1,094		91		212,783		83,533
		53,041		54,533	$	406,993	$	283,360
Accident and health insurance policies		34,307		36,339
		87,348		90,872
Unearned premiums		27,469		27,131
Losses, claims and loss adjustment expenses		85,620		79,147
Other policy liabilities		1,360		1,526
Total insurance reserves and policyholder funds	$	201,797	$	198,676

Annualized premiums for accident and health insurance policies were $101,315 and $109,430 at December 31, 2021 and 2020, respectively.

Future Policy Benefits

Liabilities for life insurance future policy benefits are based upon assumed future investment yields, mortality rates, and lapse rates after giving effect to possible risks of unexpected claim experience. The assumed mortality and lapse rates are based upon the Company’s experience modified as necessary to reflect anticipated trends and are generally established at contract inception. The interest rates assumed for life, accident and health future policy benefits are generally: (i) 2.5% to 5.5% for issues prior to 1977, (ii) 5.5% to 7.0% for 1977 through 1979 issues, (iii) 9.0% for 1980 through 1987 issues, (iv) 5.0% to 7.0% for 1988 through 2009 issues, (v) 4.0% for 2010 through 2012 issues, (vi) 3.5% to 4.0% for 2013 through 2020 issues, and (vii) 3.0% for 2021 issues.

Loss and Claim Reserves

Loss and claim reserves represent estimates of projected ultimate losses and are based upon: (a) management’s estimate of ultimate liability and claims adjusters’ evaluations for unpaid claims reported prior to the close of the accounting period, (b) estimates of incurred but not reported (“IBNR”) claims based on past experience, and (c) estimates of loss adjustment expenses. The estimated liability is periodically reviewed by management and updated, with changes to the estimated liability recorded in the statement of operations in the year in which such changes are known.

Activity in the liability for unpaid loss and claim reserves is summarized as follows:

	2021			2020
Balance at January 1	$	79,147		$	81,448
Less: Reinsurance recoverable on unpaid losses		(17,600	)		(18,339	)
Net balance at January 1		61,547			63,109

Incurred related to:
Current year		134,284			122,626
Prior years		(3,415	)⁽¹⁾		(3,480	)⁽²⁾
Total incurred		130,869			119,146

Paid related to:
Current year		89,838			84,518
Prior years		34,648			36,190
Total paid		124,486			120,708
Net balance at December 31		67,930			61,547
Plus: Reinsurance recoverable on unpaid losses		17,690			17,600
Balance at December 31	$	85,620		$	79,147

(1)

Prior years’ development was primarily the result of better than expected development on prior years loss and claim reserves for certain lines of business in American Southern, somewhat offset by unfavorable development on prior years’ loss and claim reserves for the Medicare Supplement line of business in Bankers Fidelity.

(2)

Prior years’ development was primarily the result of favorable development in the loss and claim reserves for the Medicare supplement line of business in Bankers Fidelity. Rate increases on existing business and the resultant improvement in rate adequacy was more favorable than expected. Additionally, the Company experienced favorable development in the surety line of business in American Southern due to a reduction in exposure coupled with recoveries on certain prior year losses.

Following is a reconciliation of total incurred losses to total insurance benefits and losses incurred:

	2021			2020
Total incurred losses	$	130,869		$	119,146
Cash surrender value and matured endowments		2,179			1,198
Benefit reserve changes		(1,354	)		(468)
Total insurance benefits and losses incurred	$	131,694		$	119,876

Liability for Unpaid Losses, Claims and Loss Adjustment Expenses

The following is information, by significant product lines, about incurred and paid claims development as of December 31, 2021, net of reinsurance, as well as the cumulative number of reported claims and the total of IBNR reserves plus expected development on reported claims included within the net incurred claims amounts. The information presented for the years ended December 31, 2015 and prior is presented as supplementary information and is unaudited.

Medicare Supplement

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	50,021	$	50,996	$	51,021	$	50,998	$	50,989	$	50,987	$	50,985	$	50,984	$	50,984	$	50,984	$	—		867,053
2013				56,974		56,970		57,034		57,023		57,021		57,016		57,015		57,014		57,014		—		957,374
2014						57,179		56,938		56,981		56,981		56,976		56,977		56,976		56,976		—		939,488
2015								55,482		54,939		54,993		54,990		54,984		54,985		54,985		—		898,393
2016										58,849		59,851		63,226		63,225		63,221		63,221		—		1,036,917
2017												67,960		69,655		69,643		69,635		69,633		—		1,512,362
2018														79,140		80,404		80,361		80,357		2		2,051,656
2019																88,765		87,028		86,988		10		2,244,326
2020																		75,857		75,715		188		1,848,987
2021																				65,267		15,070		1,560,365
																			$	661,140

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	42,267	$	50,996	$	51,021	$	50,998	$	50,989	$	50,987	$	50,985	$	50,984	$	50,984	$	50,984
2013				47,770		56,970		57,034		57,023		57,021		57,016		57,015		57,014		57,015
2014						48,024		56,938		56,981		56,981		56,976		56,977		56,976		56,976
2015								45,430		54,876		54,993		54,990		54,984		54,985		54,985
2016										49,165		59,747		63,226		63,225		63,221		63,221
2017												57,696		69,517		69,643		69,635		69,633
2018														66,565		80,222		80,361		80,355
2019																72,333		86,856		86,978
2020																		63,129		75,527
2021																				50,197
																			$	645,871
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	15,269

The cumulative number of reported claims for the Medicare supplement line of business is the number of distinct claims incurred and submitted to Medicare for payment in the given year. Multiple payments on the same claim are not counted in the frequency information. Estimated ultimate claims incurred, using claims data reported during each month of any given year, are calculated using the chain ladder method modified to use seasonality and trend-adjusted expected claims for the most recent four-month period prior to the statement date. Additional adjustments to the estimated ultimate claims incurred are then applied to account for seasonal changes in claim experience and in the rate of claim processing. The IBNR liability is calculated as estimated ultimate claims less paid claims and claims in course of settlement. Thirty-six months of loss data are used to develop the estimated ultimate incurred claims. Similar approaches are used for other less significant health products, subject to modifications to account for unique aspects of the products.

Automobile Liability

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	12,980	$	15,007	$	14,108	$	13,707	$	13,313	$	13,343	$	13,357	$	13,373	$	13,373	$	13,366	$	—		2,349
2013				18,664		20,702		21,096		21,823		21,352		21,020		20,972		20,972		20,970		—		3,270
2014						20,812		21,881		22,041		22,353		21,682		22,080		22,100		22,125		56		3,545
2015								18,521		19,857		20,017		20,007		20,086		20,680		20,849		21		3,530
2016										20,549		21,275		21,846		22,388		22,245		22,310		84		3,852
2017												22,179		24,212		23,766		25,180		26,009		164		3,793
2018														24,284		25,682		27,338		30,013		1,784		3,629
2019																25,241		24,045		25,724		2,113		3,573
2020																		22,416		16,442		2,167		2,438
2021																				25,887		13,147		2,422
																			$	223,695

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	4,627	$	8,791	$	11,507	$	12,932	$	13,197	$	13,211	$	13,288	$	13,373	$	13,373	$	13,365
2013				5,144		12,193		16,782		19,407		20,382		20,982		20,972		20,972		20,970
2014						6,822		13,807		17,554		20,177		20,878		21,735		21,813		21,786
2015								6,226		11,878		14,938		17,612		19,557		20,234		20,726
2016										6,796		13,141		16,397		19,613		21,408		21,809
2017												7,401		16,317		20,221		22,778		25,023
2018														6,989		15,647		21,121		24,662
2019																7,305		14,694		19,384
2020																		5,172		9,941
2021																				6,242
																			$	183,908
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	39,787

Automobile Physical Damage

	For the Years Ended December 31,										As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance										IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2017	$	6,257	$	5,933	$	5,857	$	5,860	$	5,860	$	—		1,324
2018				7,805		7,530		7,447		7,430		—		1,455
2019						8,526		8,026		7,914		1		1,486
2020								10,288		10,080		16		1,629
2021										14,296		227		1,748
									$	45,580

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2017		2018		2019		2020		2021
2017	$	5,215	$	5,914	$	5,856	$	5,860	$	5,860
2018				6,344		7,510		7,446		7,433
2019						6,360		8,005		7,906
2020								8,347		9,952
2021										11,993
									$	43,144
All outstanding liabilities before 2017, net of reinsurance										12
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance									$	2,448

General Liability

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	4,055	$	1,305	$	1,269	$	1,270	$	1,214	$	1,333	$	1,344	$	1,377	$	1,388	$	1,349	$	—		162
2013				3,461		728		926		817		865		820		945		904		868		—		198
2014						3,744		501		557		476		406		497		523		519		4		199
2015								4,421		1,037		1,227		1,044		867		855		855		—		146
2016										3,119		1,148		736		608		621		619		—		93
2017												1,490		488		513		738		738		10		83
2018														1,656		333		198		128		—		75
2019																1,916		707		455		101		85
2020																		2,223		670		150		87
2021																				2,567		1,746		59
																			$	8,768

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	371	$	707	$	847	$	1,034	$	1,113	$	1,219	$	1,260	$	1,269	$	1,280	$	1,349
2013				104		339		579		811		791		803		805		855		867
2014						171		299		331		369		373		493		498		502
2015								98		259		464		664		863		855		855
2016										116		203		568		608		617		619
2017												75		136		365		556		696
2018														65		90		115		128
2019																41		209		242
2020																		208		385
2021																				364
																			$	6,007
All outstanding liabilities before 2012, net of reinsurance																				519
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	3,280

Surety

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	4,979	$	4,767	$	5,396	$	5,345	$	4,869	$	4,880	$	4,892	$	4,925	$	4,944	$	4,993	$	1		90
2013				3,060		2,007		2,743		2,947		2,866		2,809		2,765		2,757		2,753		—		60
2014						3,214		3,130		2,990		2,760		2,685		2,617		2,818		2,782		37		54
2015								1,902		1,630		1,400		1,359		1,406		1,310		1,307		5		50
2016										3,314		1,812		1,865		1,876		1,865		1,678		—		47
2017												4,677		3,671		3,799		3,629		3,514		12		63
2018														3,528		1,938		1,381		956		3		63
2019																2,130		657		630		17		30
2020																		2,263		574		56		23
2021																				2,936		1,948		27
																			$	22,123

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	2,257	$	4,581	$	4,856	$	5,331	$	4,869	$	4,880	$	4,878	$	4,916	$	4,934	$	4,985
2013				323		1,010		1,369		2,763		2,789		2,749		2,765		2,757		2,753
2014						1,331		2,327		2,727		2,739		2,664		2,593		2,562		2,562
2015								641		856		1,127		1,125		1,128		1,271		1,273
2016										1,054		1,732		1,772		1,873		1,862		1,677
2017												1,971		3,255		3,523		3,545		3,442
2018														1,157		1,454		1,361		941
2019																259		395		568
2020																		97		460
2021																				156
																			$	18,817
All outstanding liabilities before 2012, net of reinsurance																				85
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	3,391

For the property and casualty lines of business, the number of claims presented above equals the number of occurrences by type of claim reported to the Company. The number of claims reported during a given year corresponds to the number of claims records opened during the year. Frequency information is maintained on a cumulative basis by accident year by line of business. For automobile claims, a claim count is separately maintained for bodily injury, property damage and physical damage claims. The Company has consistently monitored claim frequency on this basis, and believes this provides more meaningful information than using claimant count which can change over the course of settling a claim.

In general, when a claim is reported, claims representatives establish a “case reserve” for the estimated amount of the ultimate payment based on the known information of the claim at that time. Claims managers review and monitor all property and casualty claims in excess of $25,000. As new information becomes available or payments are made on a claim, the case reserve is adjusted to reflect the revised estimate of the ultimate amount to be paid out. Estimates and assumptions pertaining to individual claims are based on complex and subjective judgments and subject to change at any time as new information becomes available.

In addition to case reserves, IBNR reserves are established to provide for claims which have not been reported to the Company as of the reporting date as well as potential adverse development on known case reserves. IBNR reserve estimates are derived through a number of analytical techniques. Actuarial data is analyzed by line of business, coverage and accident year. Qualitative factors are also considered in determining IBNR reserves and include such factors as judicial decisions, general economic trends such as inflation, changes in policy forms, and underwriting changes. Reserves are reviewed quarterly and any indicated adjustments are made.

Because of the inherent uncertainties in establishing both case and IBNR reserves, ultimate loss experience may prove better or worse than indicated by the combined claim reserves. Adjustments to claim reserves are reflected in the period recognized and could increase or decrease earnings for the period.

The following is supplementary information about average historical claims duration as of December 31, 2021.

	Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (Unaudited)
Reserve Line	1^st Year			2^nd Year			3^rd Year			4^th Year			5^th Year			6^th Year			7^th Year			8^th Year			9^th Year			10^th Year
Medicare Supplement		82.4	%		16.8	%		0.1	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%
Automobile Liability		28.6	%		30.3	%		17.5	%		12.0	%		6.0	%		2.4	%		0.8	%		0.2	%		0.0	%		-0.1	%
Automobile Physical Damage		84.3	%		16.1	%		-1.0	%		-0.1	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%
General Liability		21.8	%		22.3	%		23.1	%		16.3	%		8.0	%		6.3	%		1.1	%		2.4	%		1.1	%		5.1	%
Surety		45.7	%		35.2	%		10.2	%		3.3	%		-2.4	%		-0.8	%		-0.1	%		0.2	%		0.1	%		1.0	%

The reconciliation of the net incurred and paid claims development tables to the liability for losses, claims and loss adjustment expenses is as follows:

	December 31, 2021
Net outstanding liabilities
Medicare Supplement	$	15,269
Automobile Liability		39,787
Automobile Physical Damage		2,448
General Liability		3,280
Surety		3,391
Other short-duration insurance lines		1,598
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance		65,773

Reinsurance recoverable on unpaid losses:
Medicare Supplement		10,753
Automobile Liability		4,506
Automobile Physical Damage		274
General Liability		2,157
Total reinsurance recoverable on unpaid losses		17,690

Unallocated claims adjustment expenses		2,157

Total gross liability for unpaid losses, claims and loss adjustment expenses	$	85,620

Reinsurance

12 Months Ended

Dec. 31, 2021

Reinsurance [Abstract]

Reinsurance

Note 6.

Reinsurance

In accordance with general practice in the insurance industry, portions of the life, property and casualty insurance written by the Company are reinsured; however, the Company remains liable with respect to reinsurance ceded should any reinsurer be unable or unwilling to meet its obligations. Approximately 99.6% of the Company’s reinsurance recoverables were due from a single reinsurer as of December 31, 2021. Reinsurance recoverables of $27,310 were due from General Re Corporation, rated “AA+” by Standard & Poor’s and “A++” (Superior) by A.M. Best. Allowances for uncollectible amounts are established against reinsurance recoverables, if appropriate.

The effects of reinsurance on premiums written, premiums earned and insurance benefits and losses incurred were as follows:

	2021			2020
Direct premiums written	$	236,682		$	239,687
Assumed premiums written		22,111			23,253
Ceded premiums written		(73,521	)		(77,622	)
Net premiums written	$	185,272		$	185,318

Direct premiums earned	$	235,806		$	238,209
Assumed premiums earned		22,076			23,144
Ceded premiums earned		(73,666	)		(77,814	)
Net premiums earned	$	184,216		$	183,539

Provision for benefits and losses incurred	$	190,591		$	175,825
Reinsurance loss recoveries		(58,897	)		(55,949	)
Insurance benefits and losses incurred	$	131,694		$	119,876

Components of reinsurance receivables at December 31, 2021 and 2020 were as follows:

	2021		2020
Recoverable on unpaid losses	$	17,690	$	17,600
Recoverable on unpaid benefits		8,169		9,832
Recoverable on paid losses		499		447
Ceded unearned premiums		819		963
Ceded advanced premiums		239		244
Total reinsurance receivables	$	27,416	$	29,086

Income Taxes

12 Months Ended

Dec. 31, 2021

Income Taxes [Abstract]

Income Taxes

Note 7.

Income Taxes

Total income taxes were allocated as follows:

	2021			2020
Total tax expense on income	$	1,021		$	3,334

Tax expense on components of shareholders’ equity:
Net unrealized gains (losses) on investment securities		(1,944	)		3,865
Total tax expense (benefit)	$	(923	)	$	7,199

A reconciliation of the differences between income taxes computed at the federal statutory income tax rate and the income tax benefit is as follows:

	2021			2020
Federal income tax provision	$	1,112		$	3,256
Statutory rate		21	%		21	%
Dividends-received deduction		(26	)		(12	)
Meals and entertainment		32			20
Vested stock and club dues		(28	)		36
Parking disallowance		16			16
Adjustment for prior years’ estimates to actual		(85	)		18
Income tax expense	$	1,021		$	3,334
Effective tax rate		19.3	%		21.5	%

The primary differences between the effective tax rate and the federal statutory income tax rate for 2021 resulted from the adjustment for prior years’ estimates to actual that are generally updated at the completion of the third quarter of each fiscal year and were $85 in the year ended December 31, 2021. Also contributing to differences between the effective tax rate and the federal statutory income tax rate were permanent differences related to meals and entertainment and vested stock and club dues. Another contributing factor was the dividends-received deduction (“DRD”). The current estimated DRD is adjusted as underlying factors change and can vary from estimates based on, but not limited to, actual distributions from investments as well as the amount of the Company’s taxable income.

The primary differences between the effective tax rate and the federal statutory income tax rate for 2020 resulted from permanent differences related to meals and entertainment and vested stock and club dues. Also contributing to differences between the effective tax rate and the federal statutory income tax rate were adjustment for prior years’ estimates to actual that are generally updated at the completion of the third quarter of each fiscal year and were $18 in the year ended December 31, 2020.

Deferred tax assets and liabilities at December 31, 2021 and 2020 were comprised of the following:

	2021			2020
Deferred tax assets:
Deferred acquisition costs	$	7,026		$	4,666
Insurance reserves		2,028			2,682
Impaired assets		780			822
Bad debts and other		280			326
Total deferred tax assets		10,114			8,496
Deferred tax liabilities:
Deferred and uncollected premiums	$	(561	)	$	(409	)
Net unrealized investment gains		(7,689	)		(9,235	)
Other		(109	)		(153	)
Total deferred tax liabilities		(8,359	)		(9,797	)
Net deferred tax asset (liability)	$	1,755		$	(1,301)

The components of income tax expense were:

	2021			2020
Current – Federal	$	2,133		$	5,584
Deferred – Federal		(1,112	)		(2,250	)
Total	$	1,021		$	3,334

The Company has formal tax-sharing agreements, and files a consolidated income tax return, with its subsidiaries. Tax years 2018, 2019 and 2020 are considered open tax years that remain subject to examination by the Internal Revenue Service.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Credit Arrangements

12 Months Ended

Dec. 31, 2021

Credit Arrangements [Abstract]

Credit Arrangements

Note 8.

Credit Arrangements

The Company is preparing for the expected discontinuation of LIBOR by identifying, assessing and monitoring risks associated with LIBOR transition. Preparation includes taking steps to update operational processes to support alternative reference rates and models, as well as evaluating legacy contracts for any changes that may be required, including the determination of applicable fallbacks.

Bank Debt

On May 12, 2021, the Company entered into a Revolving Credit Agreement (the “Credit Agreement”) with Truist Bank as the lender (the “Lender”). The Credit Agreement provides for an unsecured $10 million revolving credit facility that matures on April 12, 2024. Under the Credit Agreement, the Company will pay interest on the unpaid principal balance of outstanding revolving loans at the LIBOR Rate (as defined in the Credit Agreement) plus 2.00%, subject to a LIBOR floor rate of 1.00%.

The Credit Agreement requires the Company to comply with certain covenants, including a debt to capital ratio that restricts the Company from incurring consolidated indebtedness that exceeds 35% of the Company’s consolidated capitalization at any time. The Credit Agreement also contains customary representations and warranties and events of default. Events of default include, among others, (a) the failure by the Company to pay any amounts owed under the Credit Agreement when due, (b) the failure to perform and not timely remedy certain covenants, (c) a change in control of the Company and (d) the occurrence of bankruptcy or insolvency events. Upon an event of default, the Lender may, among other things, declare all obligations under the Credit Agreement immediately due and payable and terminate the revolving commitments. As of December 31 2021, the Company does not have any outstanding borrowings under the Credit Agreement.

Junior Subordinated Debentures

The Company has two unconsolidated Connecticut statutory business trusts, which exist for the exclusive purposes of: (i) issuing trust preferred securities (“Trust Preferred Securities”) representing undivided beneficial interests in the assets of the trusts; (ii) investing the gross proceeds of the Trust Preferred Securities in junior subordinated deferrable interest debentures (“Junior Subordinated Debentures”) of Atlantic American; and (iii) engaging in those activities necessary or incidental thereto. At December 31, 2021, the effective interest rate was 4.22%.

The financial structure of each of Atlantic American Statutory Trust I and II, as of December 31, 2021 and 2020, was as follows:

	Atlantic American Statutory Trust I		Atlantic American Statutory Trust II
JUNIOR SUBORDINATED DEBENTURES⁽¹⁾⁽²⁾
Balance December 31, 2021	$	18,042	$	23,196
Less: Treasury debt⁽³⁾		—		(7,500	)
Net balance December 31, 2021	$	18,042	$	15,696
Net balance December 31, 2020	$	18,042	$	15,696
Coupon rate	LIBOR + 4.00%			LIBOR + 4.10%
Interest payable	Quarterly		Quarterly
Maturity date	December 4, 2032		May 15, 2033
Redeemable by issuer	Yes		Yes
TRUST PREFERRED SECURITIES
Issuance date	December 4, 2002		May 15, 2003
Securities issued		17,500		22,500
Liquidation preference per security	$	1	$	1
Liquidation value	$	17,500	$	22,500
Coupon rate	LIBOR + 4.00%		LIBOR + 4.10%
Distribution payable	Quarterly		Quarterly
Distribution guaranteed by⁽⁴⁾	Atlantic American Corporation		Atlantic American Corporation

(1)

For each of the respective debentures, the Company has the right at any time, and from time to time, to defer payments of interest on the Junior Subordinated Debentures for a period not exceeding 20 consecutive quarters up to the debentures’ respective maturity dates. During any such period, interest will continue to accrue and the Company may not declare or pay any cash dividends or distributions on, or purchase, the Company’s common stock nor make any principal, interest or premium payments on or repurchase any debt securities that rank equally with or junior to the Junior Subordinated Debentures. The Company has the right at any time to dissolve each of the trusts and cause the Junior Subordinated Debentures to be distributed to the holders of the Trust Preferred Securities.

(2)	The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries.

(3)	In 2014, the Company acquired $7,500 of the Junior Subordinated Debentures.

(4)	The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
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+ Details

Leases

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Leases

Note 9.

Leases

The Company has two operating lease agreements, each for the use of office space in the ordinary course of business. The first lease renews annually on an automatic basis and based on original assumptions, management is reasonably certain to exercise the renewal option through 2026. The original term of the second lease was ten years and amended in January 2017 to provide for an additional seven years, with a termination date on September 30, 2026. The rate used in determining the present value of lease payments is based upon an estimate of the Company’s incremental secured borrowing rate commensurate with the term of the underlying lease.

These leases are accounted for as operating leases, whereby lease expense is recognized on a straight-line basis over the term of the lease. Lease expense reported for each of the years ended December 31, 2021 and 2020 was $1,014.

Additional information regarding the Company’s real estate operating leases is as follows:

	Year Ended December 31, 2021			Year Ended December 31, 2020
Other information on operating leases:
Cash payments included in the measurement of lease liabilities reported in operating cash flows	$	1,015			978
Right-of-use assets included in other assets on the consolidated balance sheet		4,143			4,832
Weighted average discount rate		6.8	%		6.8	%
Weighted average remaining lease term in years	4.9 years			5.9 years

The following table presents maturities and present value of the Company’s lease liabilities:

	Lease Liability
2022	$	1,031
2023		1,048
2024		1,065
2025		1,083
2026		942
Thereafter		—
Total undiscounted lease payments		5,169
Less: present value adjustment		791
Operating lease liability included in accounts payable and accrued expenses on the consolidated balance sheet	$	4,378

As of December 31, 2021, the Company has no operating leases that have not yet commenced.

Benefit Plans

12 Months Ended

Dec. 31, 2021

Benefit Plans [Abstract]

Benefit Plans

Note 10.

Benefit Plans

Equity Incentive Plan

On May 1, 2012, the Company’s shareholders approved the 2012 Equity Incentive Plan (the “2012 Plan”). The 2012 Plan authorizes the grant of up to 2,000,000 stock options, stock appreciation rights, restricted shares, restricted stock units, performance shares, performance units and other awards for the purpose of providing the Company’s non-employee directors, consultants, officers and other employees incentives and rewards for superior performance. In 2021, there were no restricted shares issued under the 2012 Plan. In 2020, a total of 20,000 restricted shares, with an estimated fair value of $38, were issued under the 2012 Plan and 35,000 restricted shares, with an estimated fair value of $98, were forfeited under such plan. The estimated fair value of the restricted shares issued under the 2012 Plan for 2021 and 2020 was based on the common stock price at date of grant. Stock grants are generally issued from treasury shares. Vesting of restricted shares generally occurs after a one to three year period. The Company accounts for forfeitures as they occur. There were no stock options granted or outstanding under the 2012 Plan in 2021 or 2020. Shares available for future grant at December 31, 2021 and 2020 were 935,200 and 935,200, respectively.

401(k) Plan

The Company initiated an employees’ savings plan (the “Plan”) qualified under Section 401(k) of the Internal Revenue Code in May 1995. The Plan covers substantially all of the Company’s employees. Effective January 1, 2009, the Company modified the Plan such that the Plan would operate on a safe harbor basis. Under the Plan, employees may defer up to 50% of their compensation, not to exceed the annual deferral limit. The Company’s total matching contribution for 2021 and 2020 was $272 and $231, respectively, and consisted of a contribution equal to 35% of up to the first 6% of each participant’s contributions. In addition to the matching contribution, the Company also provided a 3% safe harbor non-elective contribution in 2021 and 2020 of $549 and $520, respectively. All contributions were made in cash. Participants are 100% vested in their own contributions and the vested percentage attributable to certain employer contributions is based on a five-year graded schedule.

Agent Stock Purchase Plan

The Company initiated a nonqualified stock purchase plan (the “Agent Stock Purchase Plan”) in May 2012. The purpose of the Agent Stock Purchase Plan is to promote and advance the interests of the Company and its shareholders by providing independent agents who qualify as participants with an opportunity to purchase the common stock of the Company. Under the Agent Stock Purchase Plan, payment for shares of common stock of the Company is made by either deduction from an agent’s commission payment or a direct cash payment. Stock purchases are made at the end of each calendar quarter at the then current market value.

Preferred Stock

12 Months Ended

Dec. 31, 2021

Preferred Stock [Abstract]

Preferred Stock

Note 11.

Preferred Stock

The Company had 55,000 shares of Series D preferred stock (“Series D Preferred Stock”) outstanding at December 31, 2021 and 2020, respectively. All of the shares of Series D Preferred Stock are held by an affiliate of the Company’s controlling shareholder. The outstanding shares of Series D Preferred Stock have a par value of $1 per share and a redemption value of $100 per share; accrue annual dividends at a rate of $7.25 per share (payable in cash or shares of the Company’s common stock at the option of the board of directors of the Company) and are cumulative. In certain circumstances, the shares of the Series D Preferred Stock may be convertible into an aggregate of approximately 1,378,000 shares of the Company’s common stock, subject to certain adjustments and provided that such adjustments do not result in the Company issuing more than approximately 2,703,000 shares of common stock without obtaining prior shareholder approval; and are redeemable solely at the Company’s option. The Series D Preferred Stock is not currently convertible. The Company had accrued, but unpaid, dividends, on the Series D Preferred Stock of $18 at December 31, 2021 and 2020. During each of 2021 and 2020, the Company paid Series D Preferred Stock dividends of $399.

Earnings Per Common Share

12 Months Ended

Dec. 31, 2021

Earnings Per Common Share [Abstract]

Earnings Per Common Share

Note 12.

Earnings Per Common Share

Basic earnings per share was computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. The computation of diluted earnings per share reflected the effect of potentially dilutive securities.

A reconciliation of the numerator and denominator of the income per common share calculations is as follows:

	For the Year Ended December 31, 2021
	Income			Weighted Average Shares Outstanding (In thousands)		Per Share Amount
Basic and Diluted Earnings Per Common Share
Net income before preferred stock dividends	$	4,281			20,402		-
Less preferred stock dividends		(399	)		—
Net income applicable to common shareholders	$	3,882			20,402	$	0.19

	For the Year Ended December 31, 2020
	Income			Weighted Average Shares Outstanding (In thousands)		Per Share Amount
Basic Earnings Per Common Share
Net income before preferred stock dividends	$	12,169			20,441		-
Less preferred stock dividends		(399	)		—
Net income applicable to common shareholders		11,770			20,441		0.58
Diluted Earnings Per Common Share
Effect of Series D preferred stock		399			1,378
Net income applicable to common shareholders	$	12,169			21,819	$	0.56

The assumed conversion of the Company’s Series D Preferred Stock was excluded from the earnings per common share calculation for 2021 since its impact would have been antidilutive.

Statutory Reporting

12 Months Ended

Dec. 31, 2021

Statutory Reporting [Abstract]

Statutory Reporting

Note 13.

Statutory Reporting

The assets, liabilities and results of operations have been reported on the basis of GAAP, which varies in some respects from statutory accounting practices (“SAP”) prescribed or permitted by insurance regulatory authorities. The principal differences between SAP and GAAP are that under SAP: (i) certain assets that are non-admitted assets are eliminated from the balance sheet; (ii) acquisition costs for policies are expensed as incurred, while they are deferred and amortized over the estimated life of the policies under GAAP; (iii) the provision that is made for deferred income taxes is different than under GAAP; (iv) the timing of establishing certain reserves is different than under GAAP; and (v) certain valuation allowances attributable to certain investments are different.

The Company meets the minimum capital requirements in the states in which it does business. The amount of reported statutory net income and surplus (shareholders’ equity) for the Parent’s insurance subsidiaries for the years ended December 31 was as follows:

	2021			2020
Bankers Fidelity, net income (loss)	$	(364	)	$	7,712
American Southern, net income		7,688			8,575
Statutory net income	$	7,324		$	16,287

Bankers Fidelity, surplus	$	38,625		$	42,326
American Southern, surplus		52,724			50,194
Statutory surplus	$	91,349		$	92,520

Under the insurance code of the state in which each insurance subsidiary is domiciled, dividend payments to the Parent by its insurance subsidiaries are subject to certain limitations without the prior approval of the applicable state’s Insurance Commissioner. The Parent received dividends of $8,400 and $3,900 in the years ended 2021 and 2020, respectively, from its subsidiaries. In 2021, dividend payments to the Parent by the insurance subsidiaries in excess of $5,629 would require prior approval.

Related Party Transactions

12 Months Ended

Dec. 31, 2021

Related Party Transactions

Note 14.

Related Party Transactions

In the normal course of business the Company has engaged in transactions with entities affiliated with the controlling shareholder of the Company. These transactions include the leasing of office space as well as certain investing and financing activities. At December 31, 2021, two members of the Company’s board of directors, including the Company’s Chairman, President and Chief Executive Officer, were considered to be affiliates of the majority shareholder.

The Company leases approximately 49,586 square feet of office and covered garage space from one such controlled entity. During the years ended December 31, 2021 and 2020, the Company paid $879 and $939, respectively, under this lease. Additionally, in each of the years ended December 31, 2021 and 2020, this entity owned 1,663,809 shares of the Company’s common stock.

Certain financing for the Company has also been provided by this entity in the form of an investment in the Series D Preferred Stock (See Note 11). During the years ended December 31, 2021 and 2020, the Company paid this entity $399 in dividends on the Series D Preferred Stock.

Certain members of the Company’s management and board of directors are shareholders and on the board of directors of Gray Television, Inc. (“Gray”). As of December 31, 2021 and 2020, the Company owned 880,272 shares of Gray Class A common stock and 106,000 shares of Gray common stock. The aggregate carrying value of these investments in Gray at December 31, 2021 and 2020 was $18,325 and $16,606, respectively.

In each of the years ended December 31, 2021 and 2020, Gray paid the Company approximately $1,308 in insurance premiums related to certain voluntary employee benefit plans.

Segment Information

12 Months Ended

Dec. 31, 2021

Segment Information [Abstract]

Segment Information

Note 15.

Segment Information

The Parent’s primary insurance subsidiaries operate with relative autonomy and each company is evaluated based on its individual performance. American Southern operates in the property and casualty insurance market, while Bankers Fidelity operates in the life and health insurance market. Each segment derives revenue from the collection of premiums, as well as from investment income. Substantially all revenue other than that in the corporate and other segment is from external sources.

	For the Year Ended December 31, 2021
	American Southern			Bankers Fidelity			Corporate & Other			Adjustments & Eliminations			Consolidated
Insurance premiums, net	$	67,982		$	116,234		$	—		$	—		$	184,216
Insurance benefits and losses incurred		44,433			87,261			—			—			131,694
Expenses deferred		(10,690	)		(12,461	)		—			—			(23,151	)
Amortization and depreciation expense		10,756			13,692			537			—			24,985
Other expenses		20,077			33,484			16,255			(9,092	)		60,724
Total expenses		64,576			121,976			16,792			(9,092	)		194,252
Underwriting income (loss)		3,406			(5,742	)		—			—			(2,336	)
Net investment income (loss)		3,570			5,204			1,466			(1,712	)		8,528
Other income (loss)		4			9			7,380			(7,380	)		13
Operating income (loss)		6,980			(529	)		(7,946	)		—			(1,495	)
Net realized gains		2,198			2,705			—			—			4,903
Unrealized gains on equity securities		114			1,550			230			—			1,894
Income (loss) before income taxes	$	9,292		$	3,726		$	(7,716	)	$	—		$	5,302
Total revenues	$	73,868		$	125,702		$	9,076		$	(9,092	)	$	199,554
Intangibles	$	1,350		$	1,194		$	—		$	—		$	2,544
Total assets	$	161,788		$	227,395		$	177,638		$	(164,535	)	$	402,286

	For the Year Ended December 31, 2020
	American Southern			Bankers Fidelity			Corporate & Other			Adjustments & Eliminations			Consolidated
Insurance premiums, net	$	62,372		$	121,167		$	—		$	—		$	183,539
Insurance benefits and losses incurred		39,339			80,537			—			—			119,876
Expenses deferred		(9,910	)		(10,233	)		—			—			(20,143	)
Amortization and depreciation expense		9,772			10,007			594			—			20,373
Other expenses		19,542			34,403			14,526			(8,732	)		59,739
Total expenses		58,743			114,714			15,120			(8,732	)		179,845
Underwriting income		3,629			6,453			—			—			10,082
Net investment income (loss)		3,586			4,971			1,174			(1,987	)		7,744
Other income (loss)		37			11			6,773			(6,745	)		76
Operating income (loss)		7,252			11,435			(7,173	)		—			11,514
Net realized gains		3,389			4,031			—			—			7,420
Unrealized losses on equity securities		(205	)		(3,036	)		(190	)		—			(3,431	)
Income (loss) before income taxes	$	10,436		$	12,430		$	(7,363	)	$	—		$	15,503
Total revenues	$	69,179		$	127,144		$	7,757		$	(8,732	)	$	195,348
Intangibles	$	1,350		$	1,194		$	—		$	—		$	2,544
Total assets	$	158,808		$	236,197		$	183,178		$	(172,996	)	$	405,187

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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Reference 5: http://www.xbrl.org/2003/role/disclosureRef
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Commitments and Contingencies

12 Months Ended

Dec. 31, 2021

Commitments and Contingencies [Abstract]

Commitments and Contingencies

Note 16.

Commitments and Contingencies

Litigation

From time to time, the Company is, and expects to continue to be, involved in various claims and lawsuits incidental to and in the ordinary course of its business. In the opinion of management, any such known claims are not expected to have a material effect on the financial condition or results of operations of the Company.

Regulatory matters

Like all domestic insurance companies, the Company’s insurance subsidiaries are subject to regulation and supervision in the jurisdictions in which they do business. Statutes typically delegate regulatory, supervisory, and administrative powers to state insurance commissioners. From time to time, and in the ordinary course of business, the Company receives notices and inquiries from state insurance departments with respect to various matters.

In November 2021, the Company was made aware by a state regulatory authority of alleged violations relating to certain sales of insurance policies and that the Company may be subject to regulatory action, including fines. Management is currently engaged in discussions with the state regulatory authorities with respect to a resolution; however, inasmuch as this matter is of recent origin, Management is unable at this time to predict the ultimate outcome.

Subsequent Events

12 Months Ended

Dec. 31, 2021

Subsequent Events [Abstract]

Subsequent Events

Note 17.

Subsequent Events

On March 22, 2022, the Company’s board of directors declared an annual cash dividend of $0.02 per share of common stock that is payable to shareholders of record as of the close of business on April 13, 2022.

Schedule II CONDENSED FINANCIAL INFORMATION OF REGISTRANT

12 Months Ended

Dec. 31, 2021

Schedule II CONDENSED FINANCIAL INFORMATION OF REGISTRANT [Abstract]

Schedule II CONDENSED FINANCIAL INFORMATION OF REGISTRANT

Schedule II

Page 1 of 3

CONDENSED FINANCIAL INFORMATION OF REGISTRANT

ATLANTIC AMERICAN CORPORATION

(Parent Company Only)

BALANCE SHEETS

ASSETS

	December 31,
	2021		2020
	(In thousands)
Cash and cash equivalents	$	1,718	$	2,090
Investments		2,749		2,598
Investment in subsidiaries		164,535		172,996
Investments in unconsolidated trusts		1,238		1,238
Deferred tax asset, net		1,237		—
Income taxes receivable from subsidiaries		2,171		1,683
Other assets		5,791		4,311
Total assets	$	179,439	$	184,916

LIABILITIES AND SHAREHOLDERS’ EQUITY

Deferred tax liability, net	$	—	$	1,765
Other payables		4,415		4,353
Junior subordinated debentures		33,738		33,738
Total liabilities		38,153		39,856

Shareholders’ equity		141,286		145,060
Total liabilities and shareholders’ equity	$	179,439	$	184,916

See accompanying report of independent registered public accounting firm.

Schedule II

Page 2 of 3

CONDENSED FINANCIAL INFORMATION OF REGISTRANT

ATLANTIC AMERICAN CORPORATION

(Parent Company Only)

STATEMENTS OF OPERATIONS

	Year Ended December 31,
	2021			2020
	(In thousands)
REVENUE
Fee income from subsidiaries	$	7,380		$	6,745
Distributed earnings from subsidiaries		8,400			3,900
Unrealized gains (losses) on equity securities, net		230			(191	)
Other		(247	)		(784	)
Total revenue		15,763			9,670

GENERAL AND ADMINISTRATIVE EXPENSES		13,654			11,521

INTEREST EXPENSE		1,387			1,610
		722			(3,461	)
INCOME TAX BENEFIT⁽¹⁾		(2,840	)		(3,623	)
		3,562			162
EQUITY IN UNDISTRIBUTED EARNINGS OF SUBSIDIARIES, NET		719			12,007
NET INCOME	$	4,281		$	12,169

(1)

Under the terms of a tax-sharing agreement, income tax provisions for the subsidiary companies are computed on a separate company basis. Accordingly, the Company’s income tax benefit results from the utilization of the Parent’s separate return loss to reduce the consolidated taxable income of the Company.

See accompanying report of independent registered public accounting firm.

Schedule II

Page 3 of 3

CONDENSED FINANCIAL INFORMATION OF REGISTRANT

ATLANTIC AMERICAN CORPORATION

(Parent Company Only)

STATEMENTS OF CASH FLOWS

	Year Ended December 31,
	2021			2020
	(In thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income	$	4,281		$	12,169
Adjustments to reconcile net income to net cash provided by operating activities:
Unrealized (gains) losses on equity securities, net		(230	)		191
Depreciation and amortization		538			594
Compensation expense related to share awards		211			437
Equity in undistributed earnings of subsidiaries, net		(719	)		(12,007	)
(Increase) decrease in intercompany taxes		(489	)		622
Deferred income tax benefit		(1,058	)		(2,446	)
Increase in accounts payable and accrued expenses		63			121
Other, net		(1,966	)		917
Net cash provided by operating activities		631			598

CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to property and equipment		(49	)		(95	)
Net cash used in investing activities		(49	)		(95	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Payment of dividends on Series D preferred stock		(399	)		(399	)
Payment of dividends on common stock		(408	)		—
Proceeds from shares issued under stock plans		6			9
Treasury stock acquired — net employee share-based compensation		(153	)		(91	)
Net cash used in financing activities		(954	)		(481	)

Net (decrease) increase in cash		(372	)		22
Cash and cash equivalents at beginning of year		2,090			2,068
Cash and cash equivalents at end of year	$	1,718		$	2,090

Supplemental disclosure:
Cash paid for interest	$	1,389		$	1,665
Cash paid for income taxes	$	3,202		$	3,883
Intercompany tax settlement from subsidiaries	$	6,734		$	1,798

Schedule III SUPPLEMENTARY INSURANCE INFORMATION

12 Months Ended

Dec. 31, 2021

Schedule III SUPPLEMENTARY INSURANCE INFORMATION [Abstract]

Schedule III SUPPLEMENTARY INSURANCE INFORMATION

Schedule III

Page 1 of 2

ATLANTIC AMERICAN CORPORATION AND SUBSIDIARIES

SUPPLEMENTARY INSURANCE INFORMATION

Segment	Deferred Acquisition Costs		Future Policy Benefits, Losses, Claims and Loss Reserves			Unearned Premiums		Other Policy Claims and Benefits Payable
	(In thousands)
December 31, 2021:
Bankers Fidelity	$	36,308	$	115,712		$	3,689	$	1,360
American Southern		2,390		57,256			23,780		—
	$	38,698	$	172,968	⁽¹⁾	$	27,469	$	1,360

December 31, 2020:
Bankers Fidelity	$	37,312	$	115,136		$	4,199	$	1,526
American Southern		2,299		54,883			22,932		—
	$	39,611	$	170,019	⁽²⁾	$	27,131	$	1,526

(1)	Includes future policy benefits of $87,348 and losses and claims of $85,620.

(2)	Includes future policy benefits of $90,872 and losses and claims of $79,147.

See accompanying report of independent registered public accounting firm.

Schedule III

Page 2 of 2

ATLANTIC AMERICAN CORPORATION AND SUBSIDIARIES

SUPPLEMENTARY INSURANCE INFORMATION

Segment	Premium Revenue		Net Investment Income			Benefits, Claims, Losses and Settlement Expenses		Amortization of Deferred Acquisition Costs		Other Operating Expenses		Casualty Premiums Written
	(In thousands)
December 31, 2021:
Bankers Fidelity	$	116,234	$	5,204		$	87,261	$	13,465	$	21,250	$	—
American Southern		67,982		3,570			44,433		10,599		9,544		69,403
Corporate & other		—		(246	)		—		—		7,700		—
	$	184,216	$	8,528		$	131,694	$	24,064	$	38,494	$	69,403

December 31, 2020:
Bankers Fidelity	$	121,167	$	4,971		$	80,537	$	9,803	$	24,374	$	—
American Southern		62,372		3,586			39,339		9,590		9,814		64,366
Corporate & other		—		(813	)		—		—		6,388		—
	$	183,539	$	7,744		$	119,876	$	19,393	$	40,576	$	64,366

Schedule IV REINSURANCE INFORMATION

12 Months Ended

Dec. 31, 2021

Schedule IV REINSURANCE INFORMATION [Abstract]

Schedule IV REINSURANCE INFORMATION

Schedule IV

ATLANTIC AMERICAN CORPORATION AND SUBSIDIARIES

REINSURANCE INFORMATION

	Direct Amount		Ceded to Other Companies			Assumed From Other Companies		Net Amounts		Percentage of Amount Assumed to Net
	(Dollars in thousands)
Year ended December 31, 2021:
Life insurance in force	$	416,480	$	(9,487	)	$	—	$	406,993

Premiums —
Bankers Fidelity	$	183,382	$	(67,155	)	$	7	$	116,234		0.0	%
American Southern		52,424		(6,511	)		22,069		67,982		32.5	%
Total premiums	$	235,806	$	(73,666	)	$	22,076	$	184,216		12.0	%

Year ended December 31, 2020:
Life insurance in force	$	294,392	$	(11,032	)	$	—	$	283,360

Premiums —
Bankers Fidelity	$	193,082	$	(71,924	)	$	9	$	121,167		0.0	%
American Southern		45,127		(5,890	)		23,135		62,372		37.1	%
Total premiums	$	238,209	$	(77,814	)	$	23,144	$	183,539		12.6	%

Schedule VI SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS

12 Months Ended

Dec. 31, 2021

Schedule VI SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS [Abstract]

Schedule VI SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS

Schedule VI

ATLANTIC AMERICAN CORPORATION AND SUBSIDIARIES

SUPPLEMENTAL INFORMATION CONCERNING

PROPERTY-CASUALTY INSURANCE OPERATIONS

											Claims and Claim Adjustment Expenses Incurred Related To
Year Ended	Deferred Policy Acquisition Costs		Reserves		Unearned Premiums		Earned Premiums		Net Investment Income		Current Year		Prior Years			Amortization of Deferred Acquisition Costs		Paid Claims and Claim Adjustment Expenses		Premiums Written
	(In thousands)
December 31, 2021	$	2,390	$	57,256	$	23,780	$	67,982	$	3,570	$	48,678	$	(4,245	)	$	10,599	$	40,370	$	69,403

December 31, 2020	$	2,299	$	54,883	$	22,932	$	62,372	$	3,586	$	39,859	$	(520	)	$	9,590	$	37,645	$	64,366

Summary of Significant Accounting Policies (Policies)	12 Months Ended
Summary of Significant Accounting Policies (Policies)	Dec. 31, 2021
Summary of Significant Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) which, for insurance companies, differ in some respects from the statutory accounting practices prescribed or permitted by regulatory authorities. These financial statements include the accounts of Atlantic American Corporation (“Atlantic American” or the “Parent”) and its subsidiaries (collectively with the Parent, the “Company”). All significant intercompany accounts and transactions have been eliminated in consolidation. Operating results achieved in any historical period are not necessarily indicative of results to be expected in any future period. At December 31, 2021, the Parent owned four insurance subsidiaries, Bankers Fidelity Life Insurance Company and its wholly-owned subsidiary, Bankers Fidelity Assurance Company (together known as “Bankers Fidelity”), and American Southern Insurance Company and its wholly-owned subsidiary, American Safety Insurance Company (together known as “American Southern”), in addition to one non-insurance subsidiary, xCalibre Risk Services, Inc. The Parent has issued a guarantee of all liabilities of Bankers Fidelity.
Premium Revenue and Cost Recognition	Premium Revenue and Cost Recognition Life insurance premiums are recognized as revenue when due; accident and health insurance premiums are recognized as revenue over the premium paying period and property and casualty insurance premiums are recognized as revenue over the period of the contract in proportion to the amount of insurance protection provided. Losses, benefits and expenses are accrued as incurred and are associated with premiums as they are earned so as to result in recognition of profits over the lives of the contracts. For traditional life insurance and long-duration health insurance, this association is accomplished by the provision of a future policy benefits reserve and the deferral and subsequent amortization of the costs of acquiring business, which are referred to as “deferred policy acquisition costs” (principally commissions, premium taxes, and other incremental direct costs of issuing policies). Deferred policy acquisition costs (“DAC”) are amortized over the estimated premium-paying period of the related policies using assumptions consistent with those used in computing the future policy benefits reserve. The Company provides for insurance benefits and losses on accident, health, and property-casualty claims based upon estimates of projected ultimate losses. DAC for property and casualty insurance and short-duration health insurance is amortized over the effective period of the related insurance policies. Contingent commissions, if contractually applicable, are ultimately payable to agents based on the underlying profitability of a particular insurance contract or a group of insurance contracts, and are periodically evaluated and accrued as earned. In periods in which revisions are made to the estimated loss reserves related to the particular insurance contract or group of insurance contracts subject to such commissions, corresponding adjustments are also made to the related accruals. DAC is expensed when such costs are deemed not to be recoverable from future premiums (for traditional life and long-duration health insurance) and from the related unearned premiums and investment income (for property and casualty and short-duration health insurance).
Intangibles	Intangibles Intangibles consist of goodwill and other indefinite-lived intangible assets. Goodwill represents the excess of cost over the fair value of net assets acquired and is not amortized. Other indefinite-lived intangibles represent the value of licenses and are not amortized. The Company periodically reviews its goodwill and other indefinite-lived intangibles to determine if any adverse conditions exist that could indicate impairment. Conditions that could trigger impairment include, but are not limited to, a significant change in business climate that could affect the value of the related asset, an adverse action, or an assessment by a regulator. No impairment of the Company’s recorded intangibles was identified during any of the periods presented.
Investments	Investments The Company’s investments in fixed maturities, which include bonds and redeemable preferred stocks, are classified as “available-for-sale” and, accordingly, are carried at fair value with the after-tax difference from amortized cost, as adjusted if applicable, reflected in shareholders’ equity as a component of accumulated other comprehensive income or loss. The Company’s equity securities, which include common and non-redeemable preferred stocks, are carried at fair value with changes in fair value reported in net income. The fair values of fixed maturities and equity securities are largely determined from publicly quoted market prices, when available, or independent broker quotations. As of December 31, 2021, the Company owned a certain equity security in the amount of $157, with a valuation that was derived from techniques in which one or more of the significant inputs are unobservable. As of December 31, 2021, the Company owned a certain fixed maturity in the amount of $250, with a valuation that was derived from techniques in which one or more of the significant inputs are unobservable. Values that are not determined using quoted market prices inherently involve a greater degree of judgment and uncertainty and therefore ultimately greater price volatility than the value of securities with publicly quoted market prices. Policy loans are carried at unpaid principal balance and real estate is carried at historical cost. Other invested assets are comprised of investments in limited partnerships and limited liability companies and are accounted for using the equity method. If the value of a fixed maturity security or other invested asset declines below its cost or amortized cost, as applicable, and the decline is considered to be other than temporary, a realized loss is recorded to reduce the carrying value of the investment to its estimated fair value, which becomes the new cost basis. Premiums and discounts related to investments are amortized or accreted over the life of the related investment as an adjustment to yield using the effective interest method. Dividends and interest income are recognized when earned or declared. The cost of securities sold is based on specific identification. Unrealized gains (losses) in the value of fixed maturities are accounted for as a direct increase (decrease) in accumulated other comprehensive income in shareholders’ equity, net of deferred tax and, accordingly, have no effect on net income.
Income Taxes	Income Taxes Deferred income taxes represent the expected future tax consequences when the reported amounts of assets and liabilities are recovered or paid. They arise from differences between the financial reporting and tax basis of assets and liabilities and are adjusted for changes in tax laws and tax rates as those changes are enacted. The provision for income taxes represents the total amount of income taxes due related to the current year, plus the change in deferred income taxes during the year. A valuation allowance is recognized if, based on management’s assessment of the relevant facts, it is more likely than not that some portion of a deferred tax asset will not be realized.
Earnings Per Common Share	Earnings Per Common Share Basic earnings per common share are based on the weighted average number of common and participating shares outstanding during the relevant period. Diluted earnings per common share are based on the weighted average number of common and participating shares outstanding during the relevant period, plus options outstanding, if applicable, using the treasury stock method and the assumed conversion of the Series D preferred stock, if dilutive. Unless otherwise indicated, earnings per common share amounts are presented on a diluted basis.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents consist of cash on hand and investments in short-term, highly liquid securities with original maturities of three months or less from date of purchase.
Reinsurance	Reinsurance The Company enters into reinsurance agreements with other companies in the normal course of business. For each reinsurance agreement, the Company determines if the agreement provides indemnification against loss or liability relating to insurance risk in accordance with applicable accounting standards. Reinsurance premiums and benefits paid or provided are accounted for on bases consistent with those used in accounting for the original policies issued and the terms of the reinsurance contracts. Premiums, benefits and DAC are reported net of insurance ceded. Reinsurance premiums from assumed business are estimated based on information received from ceding companies and reinsureds. Any subsequent differences that arise regarding such estimates are recorded in the period in which they are determined.
Share-Based Transactions	Share-Based Transactions For employee and director share-based compensation awards, the Company determines a grant date fair value based on the price of our publicly-traded common stock and recognize the related compensation expense, adjusted for actual forfeitures, in the consolidated statement of operations on a straight-line basis over the requisite service period for the entire award. For non-employee share-based compensation awards, the Company recognizes the impact during the period of performance, and the fair value of the award is measured as of the date performance is complete, which is the vesting date.
Treasury Stock	Treasury Stock Treasury stock is reflected as a reduction of shareholders’ equity at cost. The Company uses the first-in-first-out (“FIFO”) purchase cost to determine the cost of treasury stock that is reissued. The Company includes any gains and losses in additional paid-in capital when treasury stock is reissued.
Recently Issued Accounting Standards	Recently Issued Accounting Standards Adoption of New Accounting Standards Income Taxes – Simplifying the Accounting for Income Taxes. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This updated guidance is intended to simplify the accounting for income taxes by removing several exceptions contained in existing guidance and amending other existing guidance to simplify several other income tax accounting matters. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2020, although earlier adoption is permitted. The Company adopted ASU 2019-12 as of January 1, 2021. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements. Future Adoption of New Accounting Standards Reference Rate Reform. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). This guidance provides optional expedients and exceptions for applying GAAP to investments, derivatives, or other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Along with the optional expedients, the amendments include a general principle that permits an entity to consider contract modifications due to reference reform to be an event that does not require contract re-measurement at the modification date or reassessment of a previous accounting determination. Additionally, a company may make a one-time election to sell, transfer, or both sell and transfer debt securities classified as held to maturity that reference a rate affected by reference rate reform and that were classified as held to maturity before January 1, 2020. This standard may be elected over time through December 31, 2022 as reference rate reform activities occur. The Company is currently assessing the effect of adopting this guidance on its financial condition and results of operations. Accounting for Long-Duration Contracts. In August 2018, the FASB issued ASU No. 2018-12, Financial Services —Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts (“ASU 2018-12”). This guidance (1) improves the timeliness of recognizing changes in the liability for future policy benefits and modifies the rate used to discount future cash flows, (2) simplifies and improves the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts, (3) simplifies the amortization of deferred acquisition costs, and (4) improves the effectiveness of the required disclosures. ASU 2018-12 is effective for interim and annual reporting periods beginning after December 15, 2024, although earlier adoption is permitted. The Company is currently evaluating the new guidance, but has not yet determined the method or timing for adoption or estimated the impact on the Company’s consolidated financial statements. Financial Instruments – Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 requires entities to measure all expected credit losses for financial instruments (including reinsurance recoverable and policy loans) held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts. Under current GAAP, entities generally recognize credit losses when it is probable that the loss has been incurred. ASU 2016-13 will remove all recognition thresholds and will require entities to recognize an allowance for credit losses equal to the difference between the amortized cost basis of a financial instrument and the amount of amortized cost that the entity expects to collect over the instrument’s contractual life. ASU 2016-13 also amends the credit loss measurement guidance for available-for-sale (“AFS”) debt securities and beneficial interests in securitized financial assets. Credit losses on AFS debt securities carried at fair value will continue to be measured as an other than temporary impairment (“OTTI”) when incurred; however, the losses will be recognized through an allowance and no longer as an adjustment to the cost basis. Recoveries of OTTI will be recognized as reversals of valuation allowances and no longer accreted as investment income through an adjustment to the investment yield. The allowance on AFS debt securities cannot cause the net carrying value to be below fair value and, therefore, it is possible that increases in fair value due to decreases in market interest rates could cause the reversal of a valuation allowance and increase net income. The new guidance will also require purchased financial assets with a more-than-insignificant amount of credit deterioration since original issuance to be recorded based on contractual amounts due and an initial allowance recorded at the date of purchase. For the Company, the amendments in ASU 2016-13 will be effective for interim and annual reporting periods beginning after December 15, 2022. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company will adopt on January 1, 2023. Implementation matters yet to be addressed include determining the impact of valuation allowances on the effective interest method for recognizing interest income from AFS debt securities as well as updating our investment accounting system functionality to adjust valuation allowances based on changes in fair value. The estimated effect on the Company’s consolidated financial statements can only be estimated based on the current investment portfolio at any given point in time, and accordingly, has not currently been determined.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements The preparation of financial statements and related disclosures in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Significant estimates and assumptions are used in developing and evaluating deferred income taxes, deferred acquisition costs, insurance reserves, investments, and receivables, among others, and actual results could differ materially from management’s estimates.

Investments (Tables)

12 Months Ended

Dec. 31, 2021

Investments [Abstract]

Investments Aggregated by Type and Industry

Fixed maturities were comprised of the following:

	2021
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	50,298	$	763	$	416	$	49,951
Obligations of states and political subdivisions		11,644		749		—		10,895
Corporate securities:
Utilities and telecom		29,717		2,961		44		26,800
Financial services		70,921		6,759		48		64,210
Other business – diversified		40,216		4,631		106		35,691
Other consumer – diversified		57,940		7,185		103		50,858
Total corporate securities		198,794		21,536		301		177,559
Redeemable preferred stocks:
Other consumer – diversified		250		58		—		192
Total redeemable preferred stocks		250		58		—		192
Total fixed maturities	$	260,986	$	23,106	$	717	$	238,597

	2020
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	30,762	$	1,381	$	26	$	29,407
Obligations of states and political subdivisions		11,802		898		—		10,904
Corporate securities:
Utilities and telecom		30,359		4,423		—		25,936
Financial services		78,258		9,811		6		68,453
Other business – diversified		41,145		5,689		15		35,471
Other consumer – diversified		61,530		9,479		47		52,098
Total corporate securities		211,292		29,402		68		181,958
Redeemable preferred stocks:
Other consumer – diversified		250		58		—		192
Total redeemable preferred stocks		250		58		—		192
Total fixed maturities	$	254,106	$	31,739	$	94	$	222,461

	2021
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Cost or Amortized Cost
Equity securities:
Common and non-redeemable preferred stocks:
Financial services		799		525		—		274
Other business – diversified		18,325		13,692		—		4,633
Total equity securities	$	19,124	$	14,217	$	—	$	4,907

	2020
	Estimated Fair Value		Gross Unrealized Gains		Gross Unrealized Losses		Cost or Amortized Cost
Equity securities:
Common and non-redeemable preferred stocks:
Financial services		2,111		351		—		1,760
Other business – diversified		16,605		11,972		—		4,633
Total equity securities	$	18,716	$	12,323	$	—	$	6,393

Amortized Cost and Carrying Value of Fixed Maturities by Contractual Maturity

	2021				2020
	Carrying Value		Amortized Cost		Carrying Value		Amortized Cost
Due in one year or less	$	1,734	$	1,730	$	2,041	$	2,015
Due after one year through five years		24,926		23,593		18,373		17,039
Due after five years through ten years		73,725		68,338		89,892		79,993
Due after ten years		122,045		106,181		124,609		104,527
Asset backed securities		38,556		38,755		19,191		18,887
Totals	$	260,986	$	238,597	$	254,106	$	222,461

Investment Securities with Continuous Unrealized Loss Position

	2021
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	30,141	$	416	$	—	$	—	$	30,141	$	416
Corporate securities		3,326		49		4,761		252		8,087		301
Total temporarily impaired securities	$	33,467	$	465	$	4,761	$	252	$	38,228	$	717

	2020
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	7,045	$	26	$	—	$	—	$	7,045	$	26
Corporate securities		4,602		68		—		—		4,602		68
Total temporarily impaired securities	$	11,647	$	94	$	—	$	—	$	11,647	$	94

Investment Income Earned

Investment income was earned from the following sources:

	2021			2020
Fixed maturities	$	8,640		$	8,646
Equity securities		300			141
Other		(111	)		(788	)
		8,829			7,999
Investment expenses		301			255
Net investment income	$	8,528		$	7,744

Summary of Realized Investment Gains (Losses)

A summary of realized investment gains (losses) follows:

	2021
	Fixed Maturities		Equity Securities		Other Invested Assets		Total
Gains	$	570	$	—	$	4,333	$	4,903
Losses		—		—		—		—
Realized investment gains, net	$	570	$	—	$	4,333	$	4,903

	2020
	Fixed Maturities			Equity Securities			Other Invested Assets		Total
Gains	$	835		$	88		$	6,948	$	7,871
Losses		(450	)		(1	)		—		(451	)
Realized investment gains, net	$	385		$	87		$	6,948	$	7,420

Proceeds from Sales of Investments

Proceeds from the sales of available-for-sale fixed maturities were as follows:

	2021		2020
Sales proceeds	$	9,244	$	18,504
Gross gains		454		835
Gross losses		—		(450	)

Proceeds from the sales of equity securities were as follows:

	2021		2020
Sales proceeds	$	61	$	5
Gross gains		—		—
Gross losses		—		(1	)

Proceeds from the sales of other invested assets were as follows:

	2021		2020
Sales proceeds	$	19,761	$	—
Gross gains		4,333		6,948
Gross losses		—		—

Unrealized Gains (Losses) on Equity Securities

The following table presents the portion of unrealized gains (losses) related to equity securities still held for the years ended December 31, 2021 and 2020.

	2021		2020
Net realized and unrealized gains (losses) recognized during the period on equity securities	$	1,894	$	(3,344	)
Less: Net realized gains recognized during the period on equity securities sold during the period		—		87
Unrealized gains (losses) on equity securities, net	$	1,894	$	(3,431	)

Disclosures About Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2021

Disclosures About Fair Value of Financial Instruments [Abstract]

Financial Instruments Carried at Fair Value Measured on a Recurring Basis

As of December 31, 2021, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	250	$	260,486	$	250	$	260,986
Equity securities		18,967		—		157		19,124
Cash equivalents		12,713		—		—		12,713
Total	$	31,930	$	260,486	$	407	$	292,823

As of December 31, 2020, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	—	$	254,106	$	—	$	254,106
Equity securities		18,573		—		143		18,716
Cash equivalents		12,010		—		—		12,010
Total	$	30,583	$	254,106	$	143	$	284,832

Carrying Amount, Estimated Fair Value and Level within the Fair Value Hierarchy of Financial Instruments

The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company’s financial instruments as of December 31, 2021 and 2020.

	Level in	2021				2020
	Fair Value Hierarchy⁽¹⁾	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Assets:
Cash and cash equivalents	Level 1	$	24,753	$	24,753	$	19,319	$	19,319
Fixed maturities	⁽¹⁾		260,986		260,986		254,106		254,106
Equity securities	⁽¹⁾		19,124		19,124		18,716		18,716
Other invested assets	Level 3		198		198		3,238		3,238
Policy loans	Level 2		1,858		1,858		1,975		1,975
Investments in unconsolidated trusts	Level 2		1,238		1,238		1,238		1,238

Liabilities:
Junior Subordinated Debentures, net	Level 2		33,738		33,728		33,738		32,297

(1)	See the aforementioned information for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

Deferred Policy Acquisition Costs (Tables)

12 Months Ended

Dec. 31, 2021

Deferred Policy Acquisition Costs [Abstract]

Deferred Policy Acquisition Costs by Segment

The following table presents a rollforward of deferred policy acquisition costs by segment for the years ended December 31.

	2021						2020
	American Southern			Bankers Fidelity			American Southern			Bankers Fidelity
Deferred policy acquisition costs:
Balance, beginning of year	$	2,299		$	37,312		$	1,979		$	36,882
Capitalization		10,690			12,461			9,910			10,233
Amortization		(10,599	)		(13,465	)		(9,590	)		(9,803	)
Balance, end of year	$	2,390		$	36,308		$	2,299		$	37,312

Insurance Reserves and Policyholder Funds (Tables)

12 Months Ended

Dec. 31, 2021

Insurance Reserves and Policyholder Funds [Abstract]

Reserves for Life, Accident, Health and Property and Casualty Losses, Including Loss Adjustment Expenses

The following table presents the Company’s reserves for life, accident and health, and property and casualty losses, claims and loss adjustment expenses at December 31, 2021 and 2020.

					Amount of Insurance In Force, Net
	2021		2020		2021		2020
Future policy benefits
Life insurance policies:
Ordinary life and annuities	$	51,947	$	54,442	$	194,210	$	199,827
Group life		1,094		91		212,783		83,533
		53,041		54,533	$	406,993	$	283,360
Accident and health insurance policies		34,307		36,339
		87,348		90,872
Unearned premiums		27,469		27,131
Losses, claims and loss adjustment expenses		85,620		79,147
Other policy liabilities		1,360		1,526
Total insurance reserves and policyholder funds	$	201,797	$	198,676

Summary of Activity in Liabilities for Unpaid Loss and Claim Reserved

Activity in the liability for unpaid loss and claim reserves is summarized as follows:

	2021			2020
Balance at January 1	$	79,147		$	81,448
Less: Reinsurance recoverable on unpaid losses		(17,600	)		(18,339	)
Net balance at January 1		61,547			63,109

Incurred related to:
Current year		134,284			122,626
Prior years		(3,415	)⁽¹⁾		(3,480	)⁽²⁾
Total incurred		130,869			119,146

Paid related to:
Current year		89,838			84,518
Prior years		34,648			36,190
Total paid		124,486			120,708
Net balance at December 31		67,930			61,547
Plus: Reinsurance recoverable on unpaid losses		17,690			17,600
Balance at December 31	$	85,620		$	79,147

(1)

(2)

Reconciliation of Total Incurred Losses to Total Insurance Benefits and Losses

Following is a reconciliation of total incurred losses to total insurance benefits and losses incurred:

	2021			2020
Total incurred losses	$	130,869		$	119,146
Cash surrender value and matured endowments		2,179			1,198
Benefit reserve changes		(1,354	)		(468)
Total insurance benefits and losses incurred	$	131,694		$	119,876

Supplementary Information about Average Historical Claims Duration

The following is supplementary information about average historical claims duration as of December 31, 2021.

	Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (Unaudited)
Reserve Line	1^st Year			2^nd Year			3^rd Year			4^th Year			5^th Year			6^th Year			7^th Year			8^th Year			9^th Year			10^th Year
Medicare Supplement		82.4	%		16.8	%		0.1	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%
Automobile Liability		28.6	%		30.3	%		17.5	%		12.0	%		6.0	%		2.4	%		0.8	%		0.2	%		0.0	%		-0.1	%
Automobile Physical Damage		84.3	%		16.1	%		-1.0	%		-0.1	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%
General Liability		21.8	%		22.3	%		23.1	%		16.3	%		8.0	%		6.3	%		1.1	%		2.4	%		1.1	%		5.1	%
Surety		45.7	%		35.2	%		10.2	%		3.3	%		-2.4	%		-0.8	%		-0.1	%		0.2	%		0.1	%		1.0	%

Reconciliation of Net Incurred and Paid Claims Development

The reconciliation of the net incurred and paid claims development tables to the liability for losses, claims and loss adjustment expenses is as follows:

	December 31, 2021
Net outstanding liabilities
Medicare Supplement	$	15,269
Automobile Liability		39,787
Automobile Physical Damage		2,448
General Liability		3,280
Surety		3,391
Other short-duration insurance lines		1,598
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance		65,773

Reinsurance recoverable on unpaid losses:
Medicare Supplement		10,753
Automobile Liability		4,506
Automobile Physical Damage		274
General Liability		2,157
Total reinsurance recoverable on unpaid losses		17,690

Unallocated claims adjustment expenses		2,157

Total gross liability for unpaid losses, claims and loss adjustment expenses	$	85,620

Medicare Supplement [Member]

Insurance Reserves and Policyholder Funds [Abstract]

Information About Incurred and Paid Claims Development

Medicare Supplement

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	50,021	$	50,996	$	51,021	$	50,998	$	50,989	$	50,987	$	50,985	$	50,984	$	50,984	$	50,984	$	—		867,053
2013				56,974		56,970		57,034		57,023		57,021		57,016		57,015		57,014		57,014		—		957,374
2014						57,179		56,938		56,981		56,981		56,976		56,977		56,976		56,976		—		939,488
2015								55,482		54,939		54,993		54,990		54,984		54,985		54,985		—		898,393
2016										58,849		59,851		63,226		63,225		63,221		63,221		—		1,036,917
2017												67,960		69,655		69,643		69,635		69,633		—		1,512,362
2018														79,140		80,404		80,361		80,357		2		2,051,656
2019																88,765		87,028		86,988		10		2,244,326
2020																		75,857		75,715		188		1,848,987
2021																				65,267		15,070		1,560,365
																			$	661,140

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	42,267	$	50,996	$	51,021	$	50,998	$	50,989	$	50,987	$	50,985	$	50,984	$	50,984	$	50,984
2013				47,770		56,970		57,034		57,023		57,021		57,016		57,015		57,014		57,015
2014						48,024		56,938		56,981		56,981		56,976		56,977		56,976		56,976
2015								45,430		54,876		54,993		54,990		54,984		54,985		54,985
2016										49,165		59,747		63,226		63,225		63,221		63,221
2017												57,696		69,517		69,643		69,635		69,633
2018														66,565		80,222		80,361		80,355
2019																72,333		86,856		86,978
2020																		63,129		75,527
2021																				50,197
																			$	645,871
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	15,269

Automobile Liability [Member]

Insurance Reserves and Policyholder Funds [Abstract]

Information About Incurred and Paid Claims Development

Automobile Liability

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	12,980	$	15,007	$	14,108	$	13,707	$	13,313	$	13,343	$	13,357	$	13,373	$	13,373	$	13,366	$	—		2,349
2013				18,664		20,702		21,096		21,823		21,352		21,020		20,972		20,972		20,970		—		3,270
2014						20,812		21,881		22,041		22,353		21,682		22,080		22,100		22,125		56		3,545
2015								18,521		19,857		20,017		20,007		20,086		20,680		20,849		21		3,530
2016										20,549		21,275		21,846		22,388		22,245		22,310		84		3,852
2017												22,179		24,212		23,766		25,180		26,009		164		3,793
2018														24,284		25,682		27,338		30,013		1,784		3,629
2019																25,241		24,045		25,724		2,113		3,573
2020																		22,416		16,442		2,167		2,438
2021																				25,887		13,147		2,422
																			$	223,695

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	4,627	$	8,791	$	11,507	$	12,932	$	13,197	$	13,211	$	13,288	$	13,373	$	13,373	$	13,365
2013				5,144		12,193		16,782		19,407		20,382		20,982		20,972		20,972		20,970
2014						6,822		13,807		17,554		20,177		20,878		21,735		21,813		21,786
2015								6,226		11,878		14,938		17,612		19,557		20,234		20,726
2016										6,796		13,141		16,397		19,613		21,408		21,809
2017												7,401		16,317		20,221		22,778		25,023
2018														6,989		15,647		21,121		24,662
2019																7,305		14,694		19,384
2020																		5,172		9,941
2021																				6,242
																			$	183,908
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	39,787

Automobile Physical Damage [Member]

Insurance Reserves and Policyholder Funds [Abstract]

Information About Incurred and Paid Claims Development

Automobile Physical Damage

	For the Years Ended December 31,										As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance										IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2017	$	6,257	$	5,933	$	5,857	$	5,860	$	5,860	$	—		1,324
2018				7,805		7,530		7,447		7,430		—		1,455
2019						8,526		8,026		7,914		1		1,486
2020								10,288		10,080		16		1,629
2021										14,296		227		1,748
									$	45,580

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2017		2018		2019		2020		2021
2017	$	5,215	$	5,914	$	5,856	$	5,860	$	5,860
2018				6,344		7,510		7,446		7,433
2019						6,360		8,005		7,906
2020								8,347		9,952
2021										11,993
									$	43,144
All outstanding liabilities before 2017, net of reinsurance										12
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance									$	2,448

General Liability [Member]

Insurance Reserves and Policyholder Funds [Abstract]

Information About Incurred and Paid Claims Development

General Liability

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	4,055	$	1,305	$	1,269	$	1,270	$	1,214	$	1,333	$	1,344	$	1,377	$	1,388	$	1,349	$	—		162
2013				3,461		728		926		817		865		820		945		904		868		—		198
2014						3,744		501		557		476		406		497		523		519		4		199
2015								4,421		1,037		1,227		1,044		867		855		855		—		146
2016										3,119		1,148		736		608		621		619		—		93
2017												1,490		488		513		738		738		10		83
2018														1,656		333		198		128		—		75
2019																1,916		707		455		101		85
2020																		2,223		670		150		87
2021																				2,567		1,746		59
																			$	8,768

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	371	$	707	$	847	$	1,034	$	1,113	$	1,219	$	1,260	$	1,269	$	1,280	$	1,349
2013				104		339		579		811		791		803		805		855		867
2014						171		299		331		369		373		493		498		502
2015								98		259		464		664		863		855		855
2016										116		203		568		608		617		619
2017												75		136		365		556		696
2018														65		90		115		128
2019																41		209		242
2020																		208		385
2021																				364
																			$	6,007
All outstanding liabilities before 2012, net of reinsurance																				519
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	3,280

Surety [Member]

Insurance Reserves and Policyholder Funds [Abstract]

Information About Incurred and Paid Claims Development

Surety

	For the Years Ended December 31,																				As of December 31, 2021
	Incurred Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance																				IBNR Reserves		Cumulative Number of Reported Claims
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021		IBNR Reserves		Cumulative Number of Reported Claims
2012	$	4,979	$	4,767	$	5,396	$	5,345	$	4,869	$	4,880	$	4,892	$	4,925	$	4,944	$	4,993	$	1		90
2013				3,060		2,007		2,743		2,947		2,866		2,809		2,765		2,757		2,753		—		60
2014						3,214		3,130		2,990		2,760		2,685		2,617		2,818		2,782		37		54
2015								1,902		1,630		1,400		1,359		1,406		1,310		1,307		5		50
2016										3,314		1,812		1,865		1,876		1,865		1,678		—		47
2017												4,677		3,671		3,799		3,629		3,514		12		63
2018														3,528		1,938		1,381		956		3		63
2019																2,130		657		630		17		30
2020																		2,263		574		56		23
2021																				2,936		1,948		27
																			$	22,123

	Cumulative Paid Losses, Claims and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident Year	2012		2013		2014		2015		2016		2017		2018		2019		2020		2021
2012	$	2,257	$	4,581	$	4,856	$	5,331	$	4,869	$	4,880	$	4,878	$	4,916	$	4,934	$	4,985
2013				323		1,010		1,369		2,763		2,789		2,749		2,765		2,757		2,753
2014						1,331		2,327		2,727		2,739		2,664		2,593		2,562		2,562
2015								641		856		1,127		1,125		1,128		1,271		1,273
2016										1,054		1,732		1,772		1,873		1,862		1,677
2017												1,971		3,255		3,523		3,545		3,442
2018														1,157		1,454		1,361		941
2019																259		395		568
2020																		97		460
2021																				156
																			$	18,817
All outstanding liabilities before 2012, net of reinsurance																				85
Liabilities for losses, claims and loss adjustment expenses, net of reinsurance																			$	3,391

Reinsurance (Tables)

12 Months Ended

Dec. 31, 2021

Reinsurance [Abstract]

Effects of Reinsurance on Premiums Written, Premiums Earned and Insurance Benefits and Losses Incurred

The effects of reinsurance on premiums written, premiums earned and insurance benefits and losses incurred were as follows:

	2021			2020
Direct premiums written	$	236,682		$	239,687
Assumed premiums written		22,111			23,253
Ceded premiums written		(73,521	)		(77,622	)
Net premiums written	$	185,272		$	185,318

Direct premiums earned	$	235,806		$	238,209
Assumed premiums earned		22,076			23,144
Ceded premiums earned		(73,666	)		(77,814	)
Net premiums earned	$	184,216		$	183,539

Provision for benefits and losses incurred	$	190,591		$	175,825
Reinsurance loss recoveries		(58,897	)		(55,949	)
Insurance benefits and losses incurred	$	131,694		$	119,876

Components of Reinsurance Recoverables

Components of reinsurance receivables at December 31, 2021 and 2020 were as follows:

	2021		2020
Recoverable on unpaid losses	$	17,690	$	17,600
Recoverable on unpaid benefits		8,169		9,832
Recoverable on paid losses		499		447
Ceded unearned premiums		819		963
Ceded advanced premiums		239		244
Total reinsurance receivables	$	27,416	$	29,086

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Taxes [Abstract]

Allocation of Total Income Taxes

Total income taxes were allocated as follows:

	2021			2020
Total tax expense on income	$	1,021		$	3,334

Tax expense on components of shareholders’ equity:
Net unrealized gains (losses) on investment securities		(1,944	)		3,865
Total tax expense (benefit)	$	(923	)	$	7,199

Reconciliation of Income Tax Expense (Benefit)

A reconciliation of the differences between income taxes computed at the federal statutory income tax rate and the income tax benefit is as follows:

	2021			2020
Federal income tax provision	$	1,112		$	3,256
Statutory rate		21	%		21	%
Dividends-received deduction		(26	)		(12	)
Meals and entertainment		32			20
Vested stock and club dues		(28	)		36
Parking disallowance		16			16
Adjustment for prior years’ estimates to actual		(85	)		18
Income tax expense	$	1,021		$	3,334
Effective tax rate		19.3	%		21.5	%

Deferred Tax Liabilities and Assets

Deferred tax assets and liabilities at December 31, 2021 and 2020 were comprised of the following:

	2021			2020
Deferred tax assets:
Deferred acquisition costs	$	7,026		$	4,666
Insurance reserves		2,028			2,682
Impaired assets		780			822
Bad debts and other		280			326
Total deferred tax assets		10,114			8,496
Deferred tax liabilities:
Deferred and uncollected premiums	$	(561	)	$	(409	)
Net unrealized investment gains		(7,689	)		(9,235	)
Other		(109	)		(153	)
Total deferred tax liabilities		(8,359	)		(9,797	)
Net deferred tax asset (liability)	$	1,755		$	(1,301)

Components of Income Tax Expense

The components of income tax expense were:

	2021			2020
Current – Federal	$	2,133		$	5,584
Deferred – Federal		(1,112	)		(2,250	)
Total	$	1,021		$	3,334

Credit Arrangements (Tables)

12 Months Ended

Dec. 31, 2021

Credit Arrangements [Abstract]

Financial Structure of Statutory Business Trusts

The financial structure of each of Atlantic American Statutory Trust I and II, as of December 31, 2021 and 2020, was as follows:

	Atlantic American Statutory Trust I		Atlantic American Statutory Trust II
JUNIOR SUBORDINATED DEBENTURES⁽¹⁾⁽²⁾
Balance December 31, 2021	$	18,042	$	23,196
Less: Treasury debt⁽³⁾		—		(7,500	)
Net balance December 31, 2021	$	18,042	$	15,696
Net balance December 31, 2020	$	18,042	$	15,696
Coupon rate	LIBOR + 4.00%			LIBOR + 4.10%
Interest payable	Quarterly		Quarterly
Maturity date	December 4, 2032		May 15, 2033
Redeemable by issuer	Yes		Yes
TRUST PREFERRED SECURITIES
Issuance date	December 4, 2002		May 15, 2003
Securities issued		17,500		22,500
Liquidation preference per security	$	1	$	1
Liquidation value	$	17,500	$	22,500
Coupon rate	LIBOR + 4.00%		LIBOR + 4.10%
Distribution payable	Quarterly		Quarterly
Distribution guaranteed by⁽⁴⁾	Atlantic American Corporation		Atlantic American Corporation

(1)

(2)	The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries.

(3)	In 2014, the Company acquired $7,500 of the Junior Subordinated Debentures.

(4)	The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

Leases (Tables)

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Additional Information of Operating Leases

Additional information regarding the Company’s real estate operating leases is as follows:

	Year Ended December 31, 2021			Year Ended December 31, 2020
Other information on operating leases:
Cash payments included in the measurement of lease liabilities reported in operating cash flows	$	1,015			978
Right-of-use assets included in other assets on the consolidated balance sheet		4,143			4,832
Weighted average discount rate		6.8	%		6.8	%
Weighted average remaining lease term in years	4.9 years			5.9 years

Maturities and Present Value of Lease Liabilities

The following table presents maturities and present value of the Company’s lease liabilities:

	Lease Liability
2022	$	1,031
2023		1,048
2024		1,065
2025		1,083
2026		942
Thereafter		—
Total undiscounted lease payments		5,169
Less: present value adjustment		791
Operating lease liability included in accounts payable and accrued expenses on the consolidated balance sheet	$	4,378

Earnings Per Common Share (Tables)

12 Months Ended

Dec. 31, 2021

Earnings Per Common Share [Abstract]

Reconciliation of Numerator and Denominator used in Earnings per Common Share Calculations

A reconciliation of the numerator and denominator of the income per common share calculations is as follows:

	For the Year Ended December 31, 2021
	Income			Weighted Average Shares Outstanding (In thousands)		Per Share Amount
Basic and Diluted Earnings Per Common Share
Net income before preferred stock dividends	$	4,281			20,402		-
Less preferred stock dividends		(399	)		—
Net income applicable to common shareholders	$	3,882			20,402	$	0.19

	For the Year Ended December 31, 2020
	Income			Weighted Average Shares Outstanding (In thousands)		Per Share Amount
Basic Earnings Per Common Share
Net income before preferred stock dividends	$	12,169			20,441		-
Less preferred stock dividends		(399	)		—
Net income applicable to common shareholders		11,770			20,441		0.58
Diluted Earnings Per Common Share
Effect of Series D preferred stock		399			1,378
Net income applicable to common shareholders	$	12,169			21,819	$	0.56

Statutory Reporting (Tables)

12 Months Ended

Dec. 31, 2021

Statutory Reporting [Abstract]

Reported Statutory Net Income and Surplus for the Parent's Insurance Subsidiaries

	2021			2020
Bankers Fidelity, net income (loss)	$	(364	)	$	7,712
American Southern, net income		7,688			8,575
Statutory net income	$	7,324		$	16,287

Bankers Fidelity, surplus	$	38,625		$	42,326
American Southern, surplus		52,724			50,194
Statutory surplus	$	91,349		$	92,520

- Definition

Tabular disclosure of how the entity's reporting under GAAP as of the balance sheet date differs from the results based on prescribed and permitted accounting practices of the state or country of domicile in which a relevant statutory filing is made, or differences in results based on the National Association of Insurance Commissioners (NAIC) prescribed practices, or a combination thereof. Describes the accounting practices used and the related monetary effect on statutory surplus, net income, and risk-based capital. If an insurance enterprise's risk-based capital would have triggered a regulatory event had it not used a permitted practice, that fact is disclosed in the financial statements. Permitted statutory accounting practices include practices not prescribed but allowed by the domiciliary state insurance department regulatory authority.

+ References + Details

Segment Information (Tables)

12 Months Ended

Dec. 31, 2021

Segment Information [Abstract]

Assets, Revenue Loss Before Income Taxes for Each Business Unit

	For the Year Ended December 31, 2021
	American Southern			Bankers Fidelity			Corporate & Other			Adjustments & Eliminations			Consolidated
Insurance premiums, net	$	67,982		$	116,234		$	—		$	—		$	184,216
Insurance benefits and losses incurred		44,433			87,261			—			—			131,694
Expenses deferred		(10,690	)		(12,461	)		—			—			(23,151	)
Amortization and depreciation expense		10,756			13,692			537			—			24,985
Other expenses		20,077			33,484			16,255			(9,092	)		60,724
Total expenses		64,576			121,976			16,792			(9,092	)		194,252
Underwriting income (loss)		3,406			(5,742	)		—			—			(2,336	)
Net investment income (loss)		3,570			5,204			1,466			(1,712	)		8,528
Other income (loss)		4			9			7,380			(7,380	)		13
Operating income (loss)		6,980			(529	)		(7,946	)		—			(1,495	)
Net realized gains		2,198			2,705			—			—			4,903
Unrealized gains on equity securities		114			1,550			230			—			1,894
Income (loss) before income taxes	$	9,292		$	3,726		$	(7,716	)	$	—		$	5,302
Total revenues	$	73,868		$	125,702		$	9,076		$	(9,092	)	$	199,554
Intangibles	$	1,350		$	1,194		$	—		$	—		$	2,544
Total assets	$	161,788		$	227,395		$	177,638		$	(164,535	)	$	402,286

	For the Year Ended December 31, 2020
	American Southern			Bankers Fidelity			Corporate & Other			Adjustments & Eliminations			Consolidated
Insurance premiums, net	$	62,372		$	121,167		$	—		$	—		$	183,539
Insurance benefits and losses incurred		39,339			80,537			—			—			119,876
Expenses deferred		(9,910	)		(10,233	)		—			—			(20,143	)
Amortization and depreciation expense		9,772			10,007			594			—			20,373
Other expenses		19,542			34,403			14,526			(8,732	)		59,739
Total expenses		58,743			114,714			15,120			(8,732	)		179,845
Underwriting income		3,629			6,453			—			—			10,082
Net investment income (loss)		3,586			4,971			1,174			(1,987	)		7,744
Other income (loss)		37			11			6,773			(6,745	)		76
Operating income (loss)		7,252			11,435			(7,173	)		—			11,514
Net realized gains		3,389			4,031			—			—			7,420
Unrealized losses on equity securities		(205	)		(3,036	)		(190	)		—			(3,431	)
Income (loss) before income taxes	$	10,436		$	12,430		$	(7,363	)	$	—		$	15,503
Total revenues	$	69,179		$	127,144		$	7,757		$	(8,732	)	$	195,348
Intangibles	$	1,350		$	1,194		$	—		$	—		$	2,544
Total assets	$	158,808		$	236,197		$	183,178		$	(172,996	)	$	405,187

Summary of Significant Accounting Policies, Principles of Consolidation (Details)	12 Months Ended
	Dec. 31, 2021 Subsidiary
Principles of Consolidation [Abstract]
Number of insurance subsidiaries owned by the parent	4
Number of non-insurance subsidiaries owned by the parent	1

Summary of Significant Accounting Policies, Intangibles (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($)
Intangibles [Abstract]
Impairment of intangible assets	$ 0

Summary of Significant Accounting Policies, Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Investments:
Equity securities	$ 19,124	$ 18,716
Fixed maturities	260,986	254,106
Recurring [Member]
Investments:
Equity securities	19,124	18,716
Fixed maturities	260,986	254,106
Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Investments:
Equity securities	157	143
Fixed maturities	$ 250	$ 0

Investments, Aggregated by Type and Industry (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Investments aggregated by type and industry [Abstract]
Estimated fair value	$ 260,986	$ 254,106
Gross unrealized gains	23,106	31,739
Gross unrealized losses	717	94
Amortized cost total	238,597	222,461
Estimated fair value	19,124	18,716
Gross unrealized gains	14,217	12,323
Gross unrealized losses	0	0
Cost	4,907	6,393
Amortized cost of bonds on deposit with insurance regulatory authorities	11,169	10,670
Amortized cost pledged as collateral to FHLB	5,371	1,997
Fixed Maturities [Member] \| U.S. Treasury Securities and Obligations of U.S. Government Agencies and Authorities [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	50,298	30,762
Gross unrealized gains	763	1,381
Gross unrealized losses	416	26
Amortized cost total	49,951	29,407
Fixed Maturities [Member] \| Obligations of States and Political Subdivisions [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	11,644	11,802
Gross unrealized gains	749	898
Gross unrealized losses	0	0
Amortized cost total	10,895	10,904
Fixed Maturities [Member] \| Corporate Securities [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	198,794	211,292
Gross unrealized gains	21,536	29,402
Gross unrealized losses	301	68
Amortized cost total	177,559	181,958
Fixed Maturities [Member] \| Corporate Securities [Member] \| Utilities and Telecom [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	29,717	30,359
Gross unrealized gains	2,961	4,423
Gross unrealized losses	44	0
Amortized cost total	26,800	25,936
Fixed Maturities [Member] \| Corporate Securities [Member] \| Financial Services [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	70,921	78,258
Gross unrealized gains	6,759	9,811
Gross unrealized losses	48	6
Amortized cost total	64,210	68,453
Fixed Maturities [Member] \| Corporate Securities [Member] \| Other Business - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	40,216	41,145
Gross unrealized gains	4,631	5,689
Gross unrealized losses	106	15
Amortized cost total	35,691	35,471
Fixed Maturities [Member] \| Corporate Securities [Member] \| Other Consumer - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	57,940	61,530
Gross unrealized gains	7,185	9,479
Gross unrealized losses	103	47
Amortized cost total	50,858	52,098
Fixed Maturities [Member] \| Redeemable Preferred Stocks [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	250	250
Gross unrealized gains	58	58
Gross unrealized losses	0	0
Amortized cost total	192	192
Fixed Maturities [Member] \| Redeemable Preferred Stocks [Member] \| Other Consumer - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	250	250
Gross unrealized gains	58	58
Gross unrealized losses	0	0
Amortized cost total	192	192
Equity Securities [Member] \| Common and Non-redeemable Preferred Stocks [Member] \| Financial Services [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	799	2,111
Gross unrealized gains	525	351
Gross unrealized losses	0	0
Cost	274	1,760
Equity Securities [Member] \| Common and Non-redeemable Preferred Stocks [Member] \| Other Business - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Estimated fair value	18,325	16,605
Gross unrealized gains	13,692	11,972
Gross unrealized losses	0	0
Cost	$ 4,633	$ 4,633

Investments, Fixed Maturities by Contractual Maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Carrying Value [Abstract]
Due in one year or less	$ 1,734	$ 2,041
Due after one year through five years	24,926	18,373
Due after five years through ten years	73,725	89,892
Due after ten years	122,045	124,609
Asset backed securities	38,556	19,191
Carrying value total	260,986	254,106
Amortized Cost [Abstract]
Due in one year or less	1,730	2,015
Due after one year through five years	23,593	17,039
Due after five years through ten years	68,338	79,993
Due after ten years	106,181	104,527
Asset backed securities	38,755	18,887
Amortized cost total	$ 238,597	$ 222,461

Investments, Securities with Continuous Unrealized Loss Position (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($) Securities	Dec. 31, 2020 USD ($) Securities
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	$ 33,467	$ 11,647
12 months or longer	4,761	0
Total	38,228	11,647
Available-for-sale securities, continuous unrealized loss position, Unrealized Losses [Abstract]
Less than 12 months	465	94
12 months or longer	252	0
Total	717	94
Gross OTTI losses charged to realized gains	$ 0	$ 0
Number of securities in unrealized loss position \| Securities	61	20
U.S. Treasury Securities and Obligations of U.S. Government Agencies and Authorities [Member]
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	$ 30,141	$ 7,045
12 months or longer	0	0
Total	30,141	7,045
Available-for-sale securities, continuous unrealized loss position, Unrealized Losses [Abstract]
Less than 12 months	416	26
12 months or longer	0	0
Total	416	26
Corporate Securities [Member]
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	3,326	4,602
12 months or longer	4,761	0
Total	8,087	4,602
Available-for-sale securities, continuous unrealized loss position, Unrealized Losses [Abstract]
Less than 12 months	49	68
12 months or longer	252	0
Total	$ 301	$ 68

Investments, Income Earned (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Investment income earned [Abstract]
Gross investment income	$ 8,829	$ 7,999
Investment expenses	301	255
Net investment income	8,528	7,744
Fixed Maturities [Member]
Investment income earned [Abstract]
Gross investment income	8,640	8,646
Equity Securities [Member]
Investment income earned [Abstract]
Gross investment income	300	141
Other [Member]
Investment income earned [Abstract]
Gross investment loss	$ (111)	$ (788)

Investments, Summary of Realized Investment Gains (Losses) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Summary of realized investment gains [Abstract]
Gains	$ 4,903	$ 7,871
Losses	0	(451)
Realized investment gains, net	4,903	7,420
Proceeds from Sales of other invested assets [Abstract]
Receivable from sale of other invested assets	0	12,678
Fixed Maturities [Member]
Summary of realized investment gains [Abstract]
Gains	570	835
Losses	0	(450)
Realized investment gains, net	570	385
Proceeds from sales of available-for-sale fixed maturities [Abstract]
Sales proceeds	9,244	18,504
Gross gains	454	835
Gross losses	0	(450)
Equity Securities [Member]
Summary of realized investment gains [Abstract]
Gains	0	88
Losses	0	(1)
Realized investment gains, net	0	87
Proceeds from sales of equity securities [Abstract]
Sales proceeds	61	5
Gross gains	0	0
Gross losses	0	(1)
Other Invested Assets [Member]
Summary of realized investment gains [Abstract]
Gains	4,333	6,948
Losses	0	0
Realized investment gains, net	4,333	6,948
Proceeds from Sales of other invested assets [Abstract]
Sales proceeds	19,761	0
Gross gains	4,333	6,948
Gross losses	$ 0	$ 0

Investments, Unrealized Gains (Losses) Related to Equity Securities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Investments [Abstract]
Net realized and unrealized gains (losses) recognized during the period on equity securities	$ 1,894	$ (3,344)
Less: Net realized gains recognized during the period on equity securities sold during the period	0	87
Unrealized gains (losses) on equity securities, net	$ 1,894	$ (3,431)
Percentage of investment grade securities in bond portfolio	99.00%

Investments, Variable Interest Entities (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Variable Interest Entities [Abstract]
Carrying amount of interest	$ 198	$ 3,238
Investment in unconsolidated trusts	1,238	1,238
VIE, Not Primary Beneficiary [Member] \| Other Invested Assets [Member]
Variable Interest Entities [Abstract]
Carrying amount of interest	198	3,238
Investment in unconsolidated trusts	1,238	1,238
Maximum loss exposure	1,436	4,476
Outstanding commitments	$ 1,997	$ 1,997

Disclosures About Fair Value of Financial Instruments, Fair Value Measured on a Recurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Fixed maturities	$ 260,986	$ 254,106
Equity securities	19,124	18,716
Recurring [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Fixed maturities	260,986	254,106
Equity securities	19,124	18,716
Cash equivalents	12,713	12,010
Assets at fair value	292,823	284,832
Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Fixed maturities	250	0
Equity securities	18,967	18,573
Cash equivalents	12,713	12,010
Assets at fair value	31,930	30,583
Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Fixed maturities	260,486	254,106
Equity securities	0	0
Cash equivalents	0	0
Assets at fair value	260,486	254,106
Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Fixed maturities	250	0
Equity securities	157	143
Cash equivalents	0	0
Assets at fair value	$ 407	$ 143

Disclosures About Fair Value of Financial Instruments, Carrying Amount, Estimated Fair Value and Level (Details) - USD ($)
$ in Thousands

Dec. 31, 2021

Dec. 31, 2020

Assets [Abstract]

Fixed maturities

$ 260,986

$ 254,106

Equity securities

19,124

18,716

Carrying Amount [Member]

Assets [Abstract]

Fixed maturities

^[1]

260,986

254,106

Equity securities

^[1]

19,124

18,716

Carrying Amount [Member] | Level 1 [Member]

Assets [Abstract]

Cash and cash equivalents

24,753

19,319

Carrying Amount [Member] | Level 2 [Member]

Assets [Abstract]

Policy loans

1,858

1,975

Investment in unconsolidated trusts

1,238

Liabilities [Abstract]

Junior Subordinated Debentures, net

33,738

Carrying Amount [Member] | Level 3 [Member]

Assets [Abstract]

Other invested assets

198

3,238

Estimated Fair Value [Member]

Assets [Abstract]

Fixed maturities

^[1]

260,986

254,106

Equity securities

^[1]

19,124

18,716

Estimated Fair Value [Member] | Level 1 [Member]

Assets [Abstract]

Cash and cash equivalents

24,753

19,319

Estimated Fair Value [Member] | Level 2 [Member]

Assets [Abstract]

Policy loans

1,858

1,975

Investment in unconsolidated trusts

1,238

Liabilities [Abstract]

Junior Subordinated Debentures, net

33,728

32,297

Estimated Fair Value [Member] | Level 3 [Member]

Assets [Abstract]

Other invested assets

$ 198

$ 3,238

[1]	See the aforementioned information for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

Deferred Policy Acquisition Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Deferred policy acquisition costs [Roll Forward]
Balance, beginning of year	$ 39,611
Amortization	(24,064)	$ (19,393)
Balance, end of year	38,698	39,611
American Southern [Member]
Deferred policy acquisition costs [Roll Forward]
Balance, beginning of year	2,299	1,979
Capitalization	10,690	9,910
Amortization	(10,599)	(9,590)
Balance, end of year	2,390	2,299
Bankers Fidelity [Member]
Deferred policy acquisition costs [Roll Forward]
Balance, beginning of year	37,312	36,882
Capitalization	12,461	10,233
Amortization	(13,465)	(9,803)
Balance, end of year	$ 36,308	$ 37,312

- Definition

Amount of amortization expense (reversal of expense) for deferred policy acquisition costs.

+ References + Details

Insurance Reserves and Policyholder Funds, Future Policy Benefits (Details) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2021

Dec. 31, 2020

Reserves for life, accident and health [Abstract]

Future policy benefits

$ 87,348

$ 90,872

Amount of insurance in force, net

406,993

283,360

Unearned premiums

27,469

27,131

Losses, claims and loss adjustment expenses

85,620

79,147

Other policy liabilities

1,360

1,526

Total insurance reserves and policyholder funds

201,797

198,676

Annualized premiums for accident and health insurance policies

101,315

109,430

Summary of activity in liability for unpaid loss and claim reserves [Roll Forward]

Balance at January 1

79,147

81,448

Less: Reinsurance recoverable on unpaid losses

(17,600)

(18,339)

Net balance at January 1

61,547

63,109

Incurred related to [Abstract]

Current year

134,284

122,626

Prior years

(3,415)

^[1]

(3,480)

^[2]

Total incurred

130,869

119,146

Paid related to [Abstract]

Current year

89,838

84,518

Prior years

34,648

36,190

Total paid

124,486

120,708

Net balance at December 31

67,930

61,547

Plus: Reinsurance recoverable on unpaid losses

17,690

17,600

Balance at December 31

85,620

79,147

Reconciliation of total incurred claims to total insurance benefits and losses incurred [Abstract]

Total incurred losses

130,869

119,146

Cash surrender value and matured endowments

2,179

1,198

Benefit reserve changes

(1,354)

(468)

Total insurance benefits and losses incurred

131,694

119,876

Ordinary Life and Annuities [Member]

Reserves for life, accident and health [Abstract]

Future policy benefits

51,947

54,442

Amount of insurance in force, net

194,210

199,827

Group Life [Member]

Reserves for life, accident and health [Abstract]

Future policy benefits

1,094

Amount of insurance in force, net

212,783

83,533

Life Insurance Segment [Member]

Reserves for life, accident and health [Abstract]

Future policy benefits

53,041

54,533

Amount of insurance in force, net

406,993

283,360

Accident and Health Insurance [Member]

Reserves for life, accident and health [Abstract]

Future policy benefits

$ 34,307

$ 36,339

Life, Accident and Health Insurance [Member] | Prior to 1977 [Member]

Future policy benefits [Abstract]

Policy issue range for future benefits assumptions

prior to 1977

Life, Accident and Health Insurance [Member] | Prior to 1977 [Member] | Minimum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

2.50%

Life, Accident and Health Insurance [Member] | Prior to 1977 [Member] | Maximum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

5.50%

Life, Accident and Health Insurance [Member] | 1977 through 1979 [Member]

Future policy benefits [Abstract]

Policy issue range for future benefits assumptions

1977 through 1979

Life, Accident and Health Insurance [Member] | 1977 through 1979 [Member] | Minimum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

5.50%

Life, Accident and Health Insurance [Member] | 1977 through 1979 [Member] | Maximum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

7.00%

Life, Accident and Health Insurance [Member] | 1980 through 1987 [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

9.00%

Policy issue range for future benefits assumptions

1980 through 1987

Life, Accident and Health Insurance [Member] | 1988 through 2009 [Member]

Future policy benefits [Abstract]

Policy issue range for future benefits assumptions

1988 through 2009

Life, Accident and Health Insurance [Member] | 1988 through 2009 [Member] | Minimum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

5.00%

Life, Accident and Health Insurance [Member] | 1988 through 2009 [Member] | Maximum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

7.00%

Life, Accident and Health Insurance [Member] | 2010 through 2012 [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

4.00%

Policy issue range for future benefits assumptions

2010 through 2012

Life, Accident and Health Insurance [Member] | 2013 through 2020 [Member]

Future policy benefits [Abstract]

Policy issue range for future benefits assumptions

2013 through 2020

Life, Accident and Health Insurance [Member] | 2013 through 2020 [Member] | Minimum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

3.50%

Life, Accident and Health Insurance [Member] | 2013 through 2020 [Member] | Maximum [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

4.00%

Life, Accident and Health Insurance [Member] | 2021 [Member]

Future policy benefits [Abstract]

Interest rates assumed for future policy benefits

3.00%

Policy issue range for future benefits assumptions

2021

[1]

[2]

Insurance Reserves and Policyholder Funds, Average Historical Claims Duration (Details)	Dec. 31, 2021
Medicare Supplement [Member]
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (unaudited) [Abstract]
1st Year	82.40%
2nd Year	16.80%
3rd Year	0.10%
4th Year	0.00%
5th Year	0.00%
6th Year	0.00%
7th Year	0.00%
8th Year	0.00%
9th Year	0.00%
10th Year	0.00%
Automobile Liability [Member]
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (unaudited) [Abstract]
1st Year	28.60%
2nd Year	30.30%
3rd Year	17.50%
4th Year	12.00%
5th Year	6.00%
6th Year	2.40%
7th Year	0.80%
8th Year	0.20%
9th Year	0.00%
10th Year	(0.10%)
Automobile Physical Damage [Member]
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (unaudited) [Abstract]
1st Year	84.30%
2nd Year	16.10%
3rd Year	(1.00%)
4th Year	(0.10%)
5th Year	0.00%
6th Year	0.00%
7th Year	0.00%
8th Year	0.00%
9th Year	0.00%
10th Year	0.00%
General Liability [Member]
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (unaudited) [Abstract]
1st Year	21.80%
2nd Year	22.30%
3rd Year	23.10%
4th Year	16.30%
5th Year	8.00%
6th Year	6.30%
7th Year	1.10%
8th Year	2.40%
9th Year	1.10%
10th Year	5.10%
Surety [Member]
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (unaudited) [Abstract]
1st Year	45.70%
2nd Year	35.20%
3rd Year	10.20%
4th Year	3.30%
5th Year	(2.40%)
6th Year	(0.80%)
7th Year	(0.10%)
8th Year	0.20%
9th Year	0.10%
10th Year	1.00%

Insurance Reserves and Policyholder Funds, Incurred Paid Claims Reconciliation (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	$ 65,773
Reinsurance recoverable on unpaid losses [Abstract]
Total reinsurance recoverable on unpaid losses	17,690	$ 17,600
Unallocated claims adjustment expenses	2,157
Total gross liability for unpaid losses, claims and loss adjustment expenses	85,620	$ 79,147	$ 81,448
Medicare Supplement [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	15,269
Reinsurance recoverable on unpaid losses [Abstract]
Total reinsurance recoverable on unpaid losses	10,753
Automobile Liability [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	39,787
Reinsurance recoverable on unpaid losses [Abstract]
Total reinsurance recoverable on unpaid losses	4,506
Automobile Physical Damage [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	2,448
Reinsurance recoverable on unpaid losses [Abstract]
Total reinsurance recoverable on unpaid losses	274
General Liability [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	3,280
Reinsurance recoverable on unpaid losses [Abstract]
Total reinsurance recoverable on unpaid losses	2,157
Surety [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	3,391
Other Short-Duration Insurance Lines [Member]
Net outstanding liabilities [Abstract]
Liabilities for unpaid losses, claims and loss adjustment expenses, net of reinsurance	$ 1,598

Reinsurance (Details) - USD ($) $ in Thousands	12 Months Ended
Reinsurance (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Reconciliation of premiums written, premiums earned and insurance benefits and losses [Abstract]
Direct premiums written	$ 236,682	$ 239,687
Assumed premiums written	22,111	23,253
Ceded premiums written	(73,521)	(77,622)
Net premiums written	185,272	185,318
Direct premiums earned	235,806	238,209
Assumed premiums earned	22,076	23,144
Ceded premiums earned	(73,666)	(77,814)
Net premiums earned	184,216	183,539
Provision for benefits and losses incurred	190,591	175,825
Reinsurance loss recoveries	(58,897)	(55,949)
Total insurance benefits and losses incurred	131,694	119,876
Components of reinsurance recoverables [Abstract]
Recoverable on unpaid losses	17,690	17,600
Recoverable on unpaid benefits	8,169	9,832
Recoverable on paid losses	499	447
Ceded unearned premiums	819	963
Ceded advanced premiums	239	244
Total reinsurance receivables	$ 27,416	$ 29,086
General Re Life Corporation [Member] \| Reinsurance Recoverable [Member] \| Reinsurer Concentration Risk [Member]
Reinsurance Recoverables [Abstract]
Percentage of reinsurance recoverables due from reinsurers	99.60%
Reinsurance recoverables due	$ 27,310

Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Allocation of total income taxes [Abstract]
Total tax expense on income	$ 1,021	$ 3,334
Tax expense on components of shareholders' equity [Abstract]
Net unrealized gains (losses) on investment securities	(1,944)	3,865
Total tax expense (benefit)	(923)	7,199
Reconciliation of income tax expense (benefit) [Abstract]
Federal income tax provision	$ 1,112	$ 3,256
Statutory rate	21.00%	21.00%
Dividends-received deduction	$ (26)	$ (12)
Meals and entertainment	32	20
Vested stock and club dues	(28)	36
Parking disallowance	16	16
Adjustment for prior years' estimates to actual	(85)	18
Income tax expense	$ 1,021	$ 3,334
Effective tax rate	19.30%	21.50%
Deferred tax assets [Abstract]
Deferred acquisition costs	$ 7,026	$ 4,666
Insurance reserves	2,028	2,682
Impaired assets	780	822
Bad debts and other	280	326
Total deferred tax assets	10,114	8,496
Deferred tax liabilities [Abstract]
Deferred and uncollected premiums	(561)	(409)
Net unrealized investment gains	(7,689)	(9,235)
Other	(109)	(153)
Total deferred tax liabilities	(8,359)	(9,797)
Net deferred tax asset (liability)	1,755
Net deferred tax (liability)		(1,301)
Components of income tax expense [Abstract]
Current - Federal	2,133	5,584
Deferred - Federal	(1,112)	(2,250)
Income tax expense	$ 1,021	$ 3,334
Open tax years	2018 2019 2020

Credit Arrangements, Bank Debt (Details) - Revolving Credit Facility [Member]		12 Months Ended
	May 12, 2021 USD ($)	Dec. 31, 2021 USD ($)
Bank Debt [Abstract]
Unsecured credit facility	$ 10,000,000
Maturity date		Apr. 12, 2024
Outstanding borrowings		$ 0
Minimum [Member]
Bank Debt [Abstract]
Indebtedness capital ratio	0.35
LIBOR [Member]
Bank Debt [Abstract]
Basis spread on variable rate	2.00%
Interest rate floor	1.00%

Credit Arrangements, Junior Subordinated Debentures (Details)
$ / shares in Units, shares in Thousands, $ in Thousands

12 Months Ended

Dec. 31, 2021

USD ($)

Trust

Quarter

$ / shares

Debt Instruments [Abstract]

Number of Connecticut statutory business trusts | Trust

Financial structure of statutory business trusts [Abstract]

Net balance December 31, 2021

$ 33,738

Net balance December 31, 2020

$ 33,738

Junior Subordinated Debentures [Member]

Debt Instruments [Abstract]

Debt instrument, effective interest rate percentage

4.22%

Financial structure of statutory business trusts [Abstract]

Balance December 31, 2021

$ 23,196

^[1],[2]

Less: Treasury debt

(7,500)

^[1],[2],[3]

Net balance December 31, 2021

15,696

^[1],[2]

Net balance December 31, 2020

$ 15,696

^[1],[2]

Coupon rate

LIBOR + 4.10%

^[1],[2]

Interest payable

Quarterly

^[1],[2]

Maturity date

May 15, 2033

^[1],[2]

Redeemable by issuer

Yes

^[1],[2]

Number of consecutive quarters for which interest payments can be deferred | Quarter

Junior Subordinated Debentures [Member] | LIBOR [Member]

Financial structure of statutory business trusts [Abstract]

Basis spread on variable rate

4.10%

Trust Preferred Securities [Member]

Financial structure of statutory business trusts [Abstract]

Coupon rate

LIBOR + 4.10%

Issuance date

May 15, 2003

Securities issued (in shares) | shares

22,500

Liquidation preference per security (in dollars per share) | $ / shares

$ 1

Liquidation value

$ 22,500

Distribution payable

Quarterly

Distribution guaranteed by

Atlantic American Corporation

^[4]

Trust Preferred Securities [Member] | LIBOR [Member]

Financial structure of statutory business trusts [Abstract]

Basis spread on variable rate

4.00%

[1]	For each of the respective debentures, the Company has the right at any time, and from time to time, to defer payments of interest on the Junior Subordinated Debentures for a period not exceeding 20 consecutive quarters up to the debentures’ respective maturity dates. During any such period, interest will continue to accrue and the Company may not declare or pay any cash dividends or distributions on, or purchase, the Company’s common stock nor make any principal, interest or premium payments on or repurchase any debt securities that rank equally with or junior to the Junior Subordinated Debentures. The Company has the right at any time to dissolve each of the trusts and cause the Junior Subordinated Debentures to be distributed to the holders of the Trust Preferred Securities.
[2]	The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries.
[3]	In 2014, the Company acquired $7,500 of the Junior Subordinated Debentures.
[4]	The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

Leases (Details) $ in Thousands	12 Months Ended
Leases (Details) $ in Thousands	Dec. 31, 2021 USD ($) Lease	Dec. 31, 2020 USD ($)
Lease description [Abstract]
Number of operating lease agreements \| Lease	2
Lease expense	$ 1,014	$ 1,014
Other information on operating leases [Abstract]
Cash payments included in the measurement of lease liabilities reported in operating cash flows	1,015	978
Right-of-use assets included in other assets on the consolidated balance sheet	$ 4,143	$ 4,832
Weighted average discount rate	6.80%	6.80%
Weighted average remaining lease term in years	4 years 10 months 24 days	5 years 10 months 24 days
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other Assets	Other Assets
Maturities and present value of lease liabilities [Abstract]
2022	$ 1,031
2023	1,048
2024	1,065
2025	1,083
2026	942
Thereafter	0
Total undiscounted lease payments	5,169
Less: present value adjustment	791
Operating lease liability included in accounts payable and accrued expenses on the condensed consolidated balance sheet	$ 4,378
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Accounts Payable and Accrued Liabilities
Second Lease [Member]
Lease description [Abstract]
Lease term	10 years
Renewal option period	7 years

Benefit Plans, Equity Incentive Plan (Details) - 2012 Plan [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Share Awards [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Abstract]
Number of shares authorized for issuance (in shares)	2,000,000
Shares available for future grant (in shares)	935,200	935,200
Stock Options [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Abstract]
Options granted (in shares)	0	0
Options outstanding (in shares)	0	0
Restricted Stock [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Abstract]
Restricted shares issued (in shares)	0	20,000
Estimated fair value of shares issued		$ 38
Restricted shares forfeited (in shares)		35,000
Estimated fair value of shares forfeited		$ 98
Restricted Stock [Member] \| Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Abstract]
Vesting period	1 year
Restricted Stock [Member] \| Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Abstract]
Vesting period	3 years

Benefit Plans, 401(k) Plans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
401(k) Plan [Abstract]
Maximum percentage of compensation employees may defer	50.00%
Total matching contribution	$ 272	$ 231
Employer maximum contribution to plan	35.00%	35.00%
Percentage of participants contribution	6.00%	6.00%
Safe harbor non-elective contribution	3.00%	3.00%
Safe harbor non-elective contribution	$ 549	$ 520
Employer contribution graded vesting period	5 years

Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Preferred Stock [Abstract]
Preferred Stock, outstanding (in shares)	55,000	55,000
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Series D Preferred Stock [Member]
Preferred Stock [Abstract]
Preferred Stock, outstanding (in shares)	55,000	55,000
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, redemption value (in dollars per share)	100	100
Accrued annual dividends rate (in dollars per share)	$ 7.25	$ 7.25
Number of preferred stock shares convertible to common shares (in shares)	1,378,000	1,378,000
Maximum number of common stock issuable from conversion of preference shares, without obtaining prior shareholder approval (in shares)	2,703,000	2,703,000
Dividends accrued but unpaid	$ 18	$ 18
Dividends paid on preferred stock	$ 399	$ 399

Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Basic Earnings Per Common Share [Abstract]
Net income before preferred stock dividends	$ 4,281	$ 12,169
Less preferred stock dividends	(399)	(399)
Net Income applicable to common shareholders	3,882	11,770
Diluted Earnings Per Common Share [Abstract]
Net income applicable to common shareholders, Diluted	$ 3,882	$ 12,169
Weighted Average Shares [Abstract]
Weighted average shares outstanding, Basic (in shares)	20,402	20,441
Weighted average shares outstanding, Diluted (in shares)	20,402	21,819
Per Share Amount [Abstract]
Net income applicable to common shareholders, Basic (in dollars per share)	$ 0.19	$ 0.58
Net income applicable to common shareholders, Diluted (in dollars per share)	$ 0.19	$ 0.56
Series D Preferred Stock [Member]
Diluted Earnings Per Common Share [Abstract]
Effect of Series D preferred stock		$ 399
Weighted Average Shares [Abstract]
Effect of Series D preferred stock (in shares)		1,378

Statutory Reporting (Details) - USD ($) $ in Thousands	12 Months Ended
Statutory Reporting (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Statutory Net Income and Surplus [Abstract]
Dividends received from its subsidiaries	$ 8,400	$ 3,900
Maximum dividend payments by insurance subsidiaries without requiring prior approval	5,629
Statutory Accounting Practices [Member]
Statutory Net Income and Surplus [Abstract]
Statutory net income (loss)	7,324	16,287
Statutory surplus	91,349	92,520
Statutory Accounting Practices [Member] \| Bankers Fidelity [Member]
Statutory Net Income and Surplus [Abstract]
Statutory net income (loss)	(364)	7,712
Statutory surplus	38,625	42,326
Statutory Accounting Practices [Member] \| American Southern [Member]
Statutory Net Income and Surplus [Abstract]
Statutory net income (loss)	7,688	8,575
Statutory surplus	$ 52,724	$ 50,194

Related Party Transactions (Details) $ in Thousands	12 Months Ended
Related Party Transactions (Details) $ in Thousands	Dec. 31, 2021 USD ($) ft² Director shares	Dec. 31, 2020 USD ($) shares
Related Party Transaction [Abstract]
Number of board of directors \| Director	2
Rental expense for operating leases	$ 1,014	$ 1,014
Payment of dividends on Series D Preferred Stock	399	399
Series D Preferred Stock [Member]
Related Party Transaction [Abstract]
Payment of dividends on Series D Preferred Stock	$ 399	399
Gray Television, Inc [Member]
Related Party Transaction [Abstract]
Office and covered garage space leased \| ft²	49,586
Rental expense for operating leases	$ 879	$ 939
Gray Television, Inc [Member] \| Common Stock [Member]
Related Party Transaction [Abstract]
Shares of common stock owned (in shares) \| shares	1,663,809	1,663,809
Members of Management [Member]
Related Party Transaction [Abstract]
Aggregate carrying value of investments in Gray	$ 18,325	$ 16,606
Premiums paid by Gray for employee benefit plans	$ 1,308	$ 1,308
Members of Management [Member] \| Class A Common Stock [Member]
Related Party Transaction [Abstract]
Shares of common stock owned (in shares) \| shares	880,272	880,272
Members of Management [Member] \| Common Stock [Member]
Related Party Transaction [Abstract]
Shares of common stock owned (in shares) \| shares	106,000	106,000

Segment Information (Details) - USD ($) $ in Thousands	12 Months Ended
Segment Information (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Revenue and income (loss) before income taxes for each business unit [Abstract]
Insurance premiums, net	$ 184,216	$ 183,539
Insurance benefits and losses incurred	131,694	119,876
Expenses deferred	(23,151)	(20,143)
Amortization and depreciation expense	24,985	20,373
Other expenses	60,724	59,739
Total benefits and expenses	194,252	179,845
Underwriting income (loss)	(2,336)	10,082
Net investment income (loss)	8,528	7,744
Other income (loss)	13	76
Operating income (loss)	(1,495)	11,514
Net realized gains	4,903	7,420
Unrealized gains (losses) on equity securities	1,894	(3,431)
Income before income taxes	5,302	15,503
Total revenues	199,554	195,348
Intangibles	2,544	2,544
Total assets	402,286	405,187
Operating Segments [Member] \| American Southern [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Insurance premiums, net	67,982	62,372
Insurance benefits and losses incurred	44,433	39,339
Expenses deferred	(10,690)	(9,910)
Amortization and depreciation expense	10,756	9,772
Other expenses	20,077	19,542
Total benefits and expenses	64,576	58,743
Underwriting income (loss)	3,406	3,629
Net investment income (loss)	3,570	3,586
Other income (loss)	4	37
Operating income (loss)	6,980	7,252
Net realized gains	2,198	3,389
Unrealized gains (losses) on equity securities	114	(205)
Income before income taxes	9,292	10,436
Total revenues	73,868	69,179
Intangibles	1,350	1,350
Total assets	161,788	158,808
Operating Segments [Member] \| Bankers Fidelity [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Insurance premiums, net	116,234	121,167
Insurance benefits and losses incurred	87,261	80,537
Expenses deferred	(12,461)	(10,233)
Amortization and depreciation expense	13,692	10,007
Other expenses	33,484	34,403
Total benefits and expenses	121,976	114,714
Underwriting income (loss)	(5,742)	6,453
Net investment income (loss)	5,204	4,971
Other income (loss)	9	11
Operating income (loss)	(529)	11,435
Net realized gains	2,705	4,031
Unrealized gains (losses) on equity securities	1,550	(3,036)
Income before income taxes	3,726	12,430
Total revenues	125,702	127,144
Intangibles	1,194	1,194
Total assets	227,395	236,197
Corporate and Other [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Insurance premiums, net	0	0
Insurance benefits and losses incurred	0	0
Expenses deferred	0	0
Amortization and depreciation expense	537	594
Other expenses	16,255	14,526
Total benefits and expenses	16,792	15,120
Underwriting income (loss)	0	0
Net investment income (loss)	1,466	1,174
Other income (loss)	7,380	6,773
Operating income (loss)	(7,946)	(7,173)
Net realized gains	0	0
Unrealized gains (losses) on equity securities	230	(190)
Income before income taxes	(7,716)	(7,363)
Total revenues	9,076	7,757
Intangibles	0	0
Total assets	177,638	183,178
Adjustments & Eliminations [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Insurance premiums, net	0	0
Insurance benefits and losses incurred	0	0
Expenses deferred	0	0
Amortization and depreciation expense	0	0
Other expenses	(9,092)	(8,732)
Total benefits and expenses	(9,092)	(8,732)
Underwriting income (loss)	0	0
Net investment income (loss)	(1,712)	(1,987)
Other income (loss)	(7,380)	(6,745)
Operating income (loss)	0	0
Net realized gains	0	0
Unrealized gains (losses) on equity securities	0	0
Income before income taxes	0	0
Total revenues	(9,092)	(8,732)
Intangibles	0	0
Total assets	$ (164,535)	$ (172,996)

Subsequent Events (Details) - $ / shares		12 Months Ended
Subsequent Events (Details) - $ / shares	Mar. 22, 2022	Dec. 31, 2021	Dec. 31, 2020
Subsequent Event [Line Items]
Dividends declared on common stock per share (in dollars per share)		$ 0.02	$ 0
Subsequent Events [Member]
Subsequent Event [Line Items]
Dividends declared, date declared	Mar. 22, 2022
Dividends declared on common stock per share (in dollars per share)	$ 0.02
Dividends declared, date payable	Apr. 13, 2022

Schedule II CONDENSED FINANCIAL INFORMATION OF REGISTRANT (Details) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2021

Dec. 31, 2020

ASSETS [Abstract]

Cash and cash equivalents

$ 24,753

$ 19,319

Investments

283,442

279,311

Investments in unconsolidated trusts

1,238

Deferred tax asset, net

1,755

Other assets

8,719

7,804

Total assets

402,286

405,187

LIABILITIES AND SHAREHOLDERS' EQUITY [Abstract]

Deferred tax liability, net

1,301

Other payables

25,465

26,412

Junior subordinated debentures

33,738

Total liabilities

261,000

260,127

Shareholders' equity

141,286

145,060

Total liabilities and shareholders' equity

402,286

405,187

REVENUE [Abstract]

Unrealized gains (losses) on equity securities, net

1,894

(3,431)

Other

Total revenue

199,554

195,348

INTEREST EXPENSE

1,387

1,610

INCOME TAX BENEFIT

(1,021)

(3,334)

Net Income

4,281

12,169

CASH FLOWS FROM OPERATING ACTIVITIES [Abstract]

Net Income

4,281

12,169

Adjustments to reconcile net income to net cash provided by operating activities:

Unrealized (gains) losses on equity securities, net

(1,894)

3,431

Depreciation and amortization

1,003

980

Compensation expense related to share awards

211

437

Deferred income tax benefit

(1,112)

(2,250)

Increase in accounts payable and accrued expenses

(947)

2,324

Other, net

(1,420)

1,931

Net cash provided by operating activities

1,088

8,971

CASH FLOWS FROM INVESTING ACTIVITIES [Abstract]

Additions to property and equipment

(107)

(233)

Net cash provided by (used in) investing activities

5,300

(2,064)

CASH FLOWS FROM FINANCING ACTIVITIES [Abstract]

Payment of dividends on Series D preferred stock

(399)

Payment of dividends on common stock

(408)

Proceeds from shares issued under stock plans

Treasury stock acquired - net employee share-based compensation

(153)

(91)

Net cash used in financing activities

(954)

(481)

Net (decrease) increase in cash

5,434

6,426

Cash and cash equivalents at beginning of year

19,319

12,893

Cash and cash equivalents at end of year

24,753

19,319

Supplemental disclosure [Abstract]

Cash paid for interest

1,389

1,665

Cash paid for income taxes

3,202

3,883

Parent Company [Member]

ASSETS [Abstract]

Cash and cash equivalents

1,718

2,090

Investments

2,749

2,598

Investment in subsidiaries

164,535

172,996

Investments in unconsolidated trusts

1,238

Deferred tax asset, net

1,237

Income taxes receivable from subsidiaries

2,171

1,683

Other assets

5,791

4,311

Total assets

179,439

184,916

LIABILITIES AND SHAREHOLDERS' EQUITY [Abstract]

Deferred tax liability, net

1,765

Other payables

4,415

4,353

Junior subordinated debentures

33,738

Total liabilities

38,153

39,856

Shareholders' equity

141,286

145,060

Total liabilities and shareholders' equity

179,439

184,916

REVENUE [Abstract]

Fee income from subsidiaries

7,380

6,745

Distributed earnings from subsidiaries

8,400

3,900

Unrealized gains (losses) on equity securities, net

230

(191)

Other

(247)

(784)

Total revenue

15,763

9,670

GENERAL AND ADMINISTRATIVE EXPENSES

13,654

11,521

INTEREST EXPENSE

1,387

1,610

Earnings before tax and equity in undistributed earnings (losses) of subsidiaries

722

(3,461)

INCOME TAX BENEFIT

^[1]

(2,840)

(3,623)

Earnings after tax but before equity in undistributed earnings (losses) of subsidiaries

3,562

162

EQUITY IN UNDISTRIBUTED EARNINGS (LOSS) OF SUBSIDIARIES, NET

719

12,007

Net Income

4,281

12,169

CASH FLOWS FROM OPERATING ACTIVITIES [Abstract]

Net Income

4,281

12,169

Adjustments to reconcile net income to net cash provided by operating activities:

Unrealized (gains) losses on equity securities, net

(230)

191

Depreciation and amortization

538

594

Compensation expense related to share awards

211

437

Equity in undistributed earnings of subsidiaries, net

(719)

(12,007)

(Increase) decrease in intercompany taxes

(489)

622

Deferred income tax benefit

(1,058)

(2,446)

Increase in accounts payable and accrued expenses

121

Other, net

(1,966)

917

Net cash provided by operating activities

631

598

CASH FLOWS FROM INVESTING ACTIVITIES [Abstract]

Additions to property and equipment

(49)

(95)

Net cash provided by (used in) investing activities

(49)

(95)

CASH FLOWS FROM FINANCING ACTIVITIES [Abstract]

Payment of dividends on Series D preferred stock

(399)

Payment of dividends on common stock

(408)

Proceeds from shares issued under stock plans

Treasury stock acquired - net employee share-based compensation

(153)

(91)

Net cash used in financing activities

(954)

(481)

Net (decrease) increase in cash

(372)

Cash and cash equivalents at beginning of year

2,090

2,068

Cash and cash equivalents at end of year

1,718

2,090

Supplemental disclosure [Abstract]

Cash paid for interest

1,389

1,665

Cash paid for income taxes

3,202

3,883

Intercompany tax settlement from subsidiaries

$ 6,734

$ 1,798

[1]

Schedule III SUPPLEMENTARY INSURANCE INFORMATION (Details) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2021

Dec. 31, 2020

Dec. 31, 2019

Supplementary Insurance Information by Segment [Abstract]

Deferred Acquisition Costs

$ 38,698

$ 39,611

Future Policy Benefits, Losses, Claims and Loss Reserves

172,968

^[1]

170,019

^[2]

Unearned Premiums

27,469

27,131

Other Policy Claims and Benefits Payable

1,360

1,526

Liability for future policy benefits

87,348

90,872

Losses and claims

85,620

79,147

$ 81,448

Premium Revenue

184,216

183,539

Net Investment Income

8,528

7,744

Benefits, Claims, Losses and Settlement Expenses

131,694

119,876

Amortization of Deferred Acquisition Costs

24,064

19,393

Other Operating Expenses

38,494

40,576

Casualty Premiums Written

69,403

64,366

Bankers Fidelity [Member]

Supplementary Insurance Information by Segment [Abstract]

Deferred Acquisition Costs

36,308

37,312

Future Policy Benefits, Losses, Claims and Loss Reserves

115,712

115,136

Unearned Premiums

3,689

4,199

Other Policy Claims and Benefits Payable

1,360

1,526

Premium Revenue

116,234

121,167

Net Investment Income

5,204

4,971

Benefits, Claims, Losses and Settlement Expenses

87,261

80,537

Amortization of Deferred Acquisition Costs

13,465

9,803

Other Operating Expenses

21,250

24,374

Casualty Premiums Written

American Southern [Member]

Supplementary Insurance Information by Segment [Abstract]

Deferred Acquisition Costs

2,390

2,299

Future Policy Benefits, Losses, Claims and Loss Reserves

57,256

54,883

Unearned Premiums

23,780

22,932

Other Policy Claims and Benefits Payable

Premium Revenue

67,982

62,372

Net Investment Income

3,570

3,586

Benefits, Claims, Losses and Settlement Expenses

44,433

39,339

Amortization of Deferred Acquisition Costs

10,599

9,590

Other Operating Expenses

9,544

9,814

Casualty Premiums Written

69,403

64,366

Corporate and Other [Member]

Supplementary Insurance Information by Segment [Abstract]

Premium Revenue

Net Investment Income

(246)

(813)

Benefits, Claims, Losses and Settlement Expenses

Amortization of Deferred Acquisition Costs

Other Operating Expenses

7,700

6,388

Casualty Premiums Written

$ 0

[1]	Includes future policy benefits of $87,348 and losses and claims of $85,620.
[2]	Includes future policy benefits of $90,872 and losses and claims of $79,147.

Schedule IV REINSURANCE INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Life Insurance in Force [Abstract]
Direct Amount	$ 416,480	$ 294,392
Ceded To Other Companies	(9,487)	(11,032)
Assumed From Other Companies	0	0
Net Amounts	406,993	283,360
Premiums [Abstract]
Direct Amount	235,806	238,209
Ceded To Other Companies	(73,666)	(77,814)
Assumed From Other Companies	22,076	23,144
Net premiums earned	$ 184,216	$ 183,539
Percentage of Amount Assumed to Net	12.00%	12.60%
Bankers Fidelity [Member]
Premiums [Abstract]
Direct Amount	$ 183,382	$ 193,082
Ceded To Other Companies	(67,155)	(71,924)
Assumed From Other Companies	7	9
Net premiums earned	$ 116,234	$ 121,167
Percentage of Amount Assumed to Net	0.00%	0.00%
American Southern [Member]
Premiums [Abstract]
Direct Amount	$ 52,424	$ 45,127
Ceded To Other Companies	(6,511)	(5,890)
Assumed From Other Companies	22,069	23,135
Net premiums earned	$ 67,982	$ 62,372
Percentage of Amount Assumed to Net	32.50%	37.10%

Schedule VI SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Schedule VI SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS [Abstract]
Deferred Policy Acquisition Costs	$ 2,390	$ 2,299
Reserves	57,256	54,883
Unearned Premiums	23,780	22,932
Earned Premiums	67,982	62,372
Net Investment Income	3,570	3,586
Claims and Claim Adjustment Expenses Incurred Related To Current Year	48,678	39,859
Claims and Claim Adjustment Expenses Incurred Related To Prior Years	(4,245)	(520)
Amortization of Deferred Acquisition Costs	10,599	9,590
Paid Claims and Claim Adjustment Expenses	40,370	37,645
Premiums Written	$ 69,403	$ 64,366